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Top 8 Transitional Care Management (TCM) Best Practices to Reduce Readmissions

Team Circle Health
Team Circle Health
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January 5, 20265 min read
Top 8 Transitional Care Management (TCM) Best Practices to Reduce Readmissions

Discover 8 proven transitional care management best practices to reduce hospital readmissions. Learn TCM codes, post-discharge care strategies, and follow-up coordination tips.

Hospital readmissions remain a costly challenge for healthcare systems, with nearly 20% of Medicare patients returning within 30 days of discharge. Transitional care management (TCM) offers a structured approach to bridge the gap between inpatient and outpatient care, ensuring patients receive the support they need during this vulnerable period.

Implementing effective transitional care management solutions can significantly reduce readmission rates while improving patient outcomes and satisfaction. Here are eight essential best practices that healthcare organizations should adopt to maximize the impact of their TCM programs.

1. Establish Contact Within 48 Hours Post-Discharge

The first two days after hospital discharge represent a critical window for patient engagement. TCM codes require initial contact within two business days, but best-in-class programs aim for contact within 24-48 hours regardless of weekends or holidays.

This early touchpoint serves multiple purposes: verifying the patient received discharge instructions, confirming they've filled prescriptions, assessing their understanding of post-discharge care requirements, and identifying immediate concerns or complications. Early contact also establishes trust and opens communication channels for ongoing support.

Healthcare teams should use multiple contact methods including phone calls, text messages, and patient portal notifications to ensure successful outreach. Documenting this initial contact is essential for both TCM billing compliance and quality tracking.

2. Conduct Comprehensive Medication Reconciliation

Medication errors account for a substantial portion of preventable readmissions. A thorough medication reconciliation process comparing pre-admission, inpatient, and post-discharge medications is fundamental to safe transitions.

During the post-discharge visit, clinicians should review each medication with patients, explaining the purpose, dosage, timing, and potential side effects. This conversation should identify any discrepancies between hospital discharge paperwork and what the patient actually received from the pharmacy.

Pay special attention to medication adherence barriers such as cost concerns, complex regimen schedules, or patient confusion about instructions. Effective TCM programs incorporate pharmacist consultations when appropriate and connect patients with assistance programs to overcome financial barriers.

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3. Schedule and Confirm Follow-Up Appointments

One of the most preventable causes of readmission is missed follow-up appointments. TCM best practices require scheduling appropriate follow-up visits before the patient leaves the hospital, ideally within seven to fourteen days of discharge depending on the patient's condition and risk level.

However, scheduling alone isn't sufficient. Care coordination teams should confirm appointments, send reminders, arrange transportation if needed, and reschedule promptly if conflicts arise. For high-risk patients, consider offering same-day or next-day appointments to address concerns before they escalate.

The face-to-face visit required for TCM codes provides an opportunity for comprehensive assessment, medication review, care plan adjustments, and patient education. This visit should occur within 7 or 14 days of discharge depending on the complexity level billed.

4. Implement Risk Stratification Protocols

Not all discharged patients face equal readmission risk. Effective transitional care management requires identifying high-risk patients who need intensive support versus those who can manage with standard follow-up care coordination.

Risk stratification should consider factors including multiple comorbidities, history of frequent hospitalizations, social determinants of health, cognitive impairment, complex medication regimens, and inadequate support systems. Many organizations use validated tools like the LACE index or HOSPITAL score to systematically assess risk.

High-risk patients benefit from enhanced interventions such as home health visits, more frequent contact, care navigator assignment, and collaboration with community resources. Allocating resources based on risk ensures the most vulnerable patients receive appropriate attention.

5. Ensure Clear Communication Across Care Settings

Communication breakdowns between hospitals, primary care physicians, specialists, and other providers contribute significantly to adverse events during transitions. Robust communication protocols are essential for post-discharge care success.

Discharge summaries should reach outpatient providers within 24 hours and include key information such as reason for hospitalization, procedures performed, discharge medications with changes highlighted, pending test results, follow-up needs, and red flags requiring immediate attention.

Modern TCM solutions leverage health information exchanges and interoperable EHR systems to facilitate real-time information sharing. However, don't overlook direct communication methods like phone calls for complex cases where nuanced discussion enhances understanding.

6. Provide Patient and Caregiver Education

Patients and their caregivers must understand the care plan to execute it successfully at home. Effective education goes beyond handing patients a stack of papers at discharge; it requires assessing health literacy, using teach-back methods to confirm understanding, and providing accessible resources.

Education topics should cover warning signs requiring immediate medical attention, medication management, dietary restrictions, activity limitations, wound care or other self-management tasks, and who to contact with questions. Information should be provided in the patient's preferred language using plain language principles.

Consider supplementing verbal and written instructions with video tutorials, mobile app resources, or scheduled educational phone calls during the transition period. Engaged, informed patients are more likely to adhere to treatment plans and avoid complications.

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7. Address Social Determinants of Health

Medical factors alone don't determine readmission risk. Social determinants including housing instability, food insecurity, transportation barriers, and lack of social support profoundly impact patients' ability to manage their health post-discharge.

Comprehensive transitional care management includes screening for social needs and connecting patients with appropriate community resources. This might involve arranging meal delivery services, coordinating transportation to appointments, connecting patients with financial assistance programs, or involving social workers for complex psychosocial issues.

Healthcare organizations should develop partnerships with community agencies to create warm handoffs rather than simply providing patients with phone numbers. Addressing these fundamental needs often proves more impactful than additional medical interventions.

8. Monitor Outcomes and Continuously Improve

The most successful TCM programs treat implementation as an ongoing quality improvement process rather than a one-time initiative. Regular monitoring of key metrics helps identify gaps and refine strategies.

Track readmission rates overall and by diagnosis, time to first contact after discharge, completion rates for follow-up appointments, medication adherence, patient satisfaction scores, and TCM billing capture rates. Analyze patterns to identify specific failure points in the transition process.

Hold regular team meetings to review cases, especially readmissions, to understand root causes and develop targeted interventions. Share successes and learning opportunities across the organization to spread effective practices.

Building a Sustainable TCM Program

Implementing these eight best practices requires dedicated resources, cross-functional collaboration, and organizational commitment. However, the return on investment through reduced readmissions, improved patient outcomes, enhanced revenue through appropriate TCM code utilization, and better patient satisfaction makes this effort worthwhile.

Healthcare organizations should start by assessing their current capabilities against these best practices, identifying priority gaps, and developing a phased implementation plan. Technology solutions can support many aspects of follow-up care coordination, from automated reminders to centralized care management platforms.

Success in transitional care management ultimately depends on viewing the 30 days post-discharge as a critical extension of the care episode rather than an afterthought. By implementing these evidence-based practices, healthcare organizations can ensure patients successfully navigate the vulnerable transition from hospital to home while achieving better health outcomes and reducing costly readmissions.

Learn how Circle Healthcare's comprehensive transitional care management platform can help your organization implement these best practices efficiently and effectively.

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