During the COVID-19 pandemic, telehealth utilization and spending surged in Colorado. Mental health conditions and younger populations were the main drivers. Between March 2020 and January 2022, Colorado recorded 9.23 million telehealth services, totaling $1.04 billion in spending. Mental health diagnoses increased significantly, and primary care and behavioral health providers were the most active. Young adults aged 18-44 were the largest user group. Usage remains high post-pandemic, but a decline in certain healthcare areas has been observed since 2021.
The onset of the public health emergency (PHE) led to a significant surge in telehealth utilization in Colorado. This increase in usage and spending was primarily driven by mental health conditions and younger demographics.
According to data from the Center for Improving Value in Health Care (CIVHC), telehealth utilization and spending in Colorado, like many other states, saw a substantial rise during the COVID-19 pandemic. The state spent hundreds of dollars per person annually on telehealth services.
The data, collected by CIVHC, analyzed telehealth services among Colorado residents, excluding the self-insured and those covered by federal health insurance. Between March 2020 and January 2022, the analysis revealed a total of 9.23 million telehealth services, amounting to $1.04 billion in spending. This translated to an average of 1,480 telehealth services per 1,000 people, with an annual expenditure of $290 per patient.
In comparison, from January 2019 to February 2020, Colorado provided 231,236 telehealth services for $19.82 million. During this period, the state averaged 62 telehealth services per 1,000 people, with an annual spending of $9 per patient.
Even before the pandemic, mental health conditions were the leading reason for telehealth use. Before the PHE, 32 percent of telehealth diagnoses were related to mental health, followed by respiratory system diseases at 13 percent. However, after the onset of the PHE, mental health diagnoses skyrocketed to 53 percent, becoming the predominant category.
When examining the providers most engaged in telehealth, primary care, and behavioral health providers were the primary users before the PHE, accounting for 41 percent and 29 percent of telehealth usage, respectively. However, after the pandemic began, behavioral health providers became the top telehealth providers at 39 percent, followed by primary care providers at 22 percent.
Telehealth was predominantly utilized by younger populations, specifically those aged 18 to 44. Before the pandemic, this age group accounted for 34 percent of encounters, with those 65 and over participating in 31 percent of telehealth visits. Following the PHE, the 18 to 44 age group comprised 36 percent of encounters, while those younger than 1 to 17 engaged in 23 percent of visits.
Consistent with previous research, telehealth usage was higher among White individuals compared to other racial groups after the pandemic onset. Additionally, female patients (61 percent) utilized telehealth more than male patients (39 percent) after March 2020.
Overall, telehealth usage remains significantly elevated compared to pre-pandemic levels, although it has seen some decline in certain healthcare areas.
Data from FAIR Health in April indicated a decrease in telehealth usage in 2021 and 2022 following the initial rise in 2020. The study showed that telehealth use among various primary care specialties increased between 2019 and 2020, particularly among physician assistants, nurse practitioners, and pediatricians.
However, between 2020 and 2021, there was a notable 36 percent decrease in the percentage of patients seen through telehealth among physician assistants, nurse practitioners, and internal medicine physicians.
