How to Add At-Home Sleep Testing to Your Business

Sleep isn't a siloed condition; it's foundational to whole-person health. Sleep disorders affect millions of Americans, yet an estimated 80% of people with obstructive sleep apnea (OSA) remain undiagnosed. 

Launching a sleep testing program doesn't require building a sleep medicine program from scratch. With the right clinical infrastructure and technology providers, organizations can integrate home sleep apnea testing into existing care models and begin serving patients more quickly.

Why Are More Organizations Adding Sleep Testing?

Virtual care businesses are adding sleep testing because poor sleep is often connected to the same conditions they are already helping patients manage, including weight, metabolic, and cardiovascular health.

For weight management programs, sleep testing can help uncover a common missing piece. Research estimates that OSA affects up to 70% of people with obesity, making it highly relevant for programs supporting weight loss, metabolic health, and long-term behavior change.

Sleep testing can also support broader whole-health care. OSA prevalence is estimated to be as high as 40% to 80% among patients with hypertension, heart failure, coronary artery disease, pulmonary hypertension, atrial fibrillation, and stroke. 

It is also associated with type 2 diabetes, dyslipidemia, mood and cognitive concerns, and other chronic health issues, which makes sleep testing a valuable way to identify factors that may be affecting patient outcomes.

Sleep Testing Market Trends

That's a real opportunity for organizations with already established patient relationships, whether that's a weight management program, a cardiology practice, or a dental practice. The patients may already be there, and the market reflects that demand:

• The global sleep apnea devices market was valued at approximately $4.5 billion in 2023 and is expected to grow to $6.9 billion by 2030. 

• The at-home sleep apnea test segment specifically is projected to reach $3.4 billion by 2030, reflecting how much of that growth is happening outside the traditional sleep labs. 

Established sleep companies are acquiring home sleep testing providers while digital health startups move into the space — together, these signal that this is no passing trend.

The Shift to At-Home and Virtual Care

Part of what’s fueling that growth is where the testing is actually happening. Many eligible patients can now complete a home sleep apnea test that is reviewed by a licensed sleep physician instead of spending the night in a sleep lab.

The shift to home-based testing didn't happen because of any single breakthrough. Three things occurred  at roughly the same time:

• FDA-cleared at-home diagnostic devices became widely available and clinically reliable. 

• Virtual care infrastructure matured enough to support remote clinical oversight at scale.

• Treatment options expanded beyond a standard CPAP prescription, giving more patients a reason to get tested in the first place.

There's a clinical reason home-based testing works, too. A 2024–2025 study comparing patient-reported sleep quality between home and hospital settings found that more than 40% of patients reported worse sleep quality in the hospital compared to at home before testing. This pattern is known as the "first-night effect," where an unfamiliar clinical environment disrupts sleep and may affect results.

Is Sleep Testing Right for Your Business?

Organizations that already care for patients through ongoing clinical relationships may be well positioned to incorporate sleep testing into their existing services.

That includes but is not limited to:

• Dental practices — dentists are frequently the first to notice airway and bite-related warning signs.

• Weight management programs — up to 70% of people with obesity have OSA, which makes it directly relevant to weight management and GLP-1 programs. 

• Cardiology practices — sleep apnea is closely linked to hypertension and other cardiovascular conditions. 

• Wellness and longevity clinics — where better sleep can help with feeling more refreshed and energized.

• Women's health platforms — Insomnia is significantly more common in women throughout the lifespan.

As you evaluate whether sleep testing fits your business, consider where it naturally aligns with your current patient journey. Organizations that already offer preventive care, chronic condition management, or ongoing wellness programs often have opportunities to identify patients who may benefit from sleep apnea evaluation.

How Does At-Home Sleep Apnea Testing Work?

Home sleep apnea testing, or HSAT, allows eligible patients to complete a sleep study from home instead of visiting a sleep laboratory.

The traditional path to a sleep apnea diagnosis can be slow due to scheduling and shortage of in-lab technicians.

For HSAT, patients take their sleep test in their own bed, using a remote patient monitoring (RPM) device such as a ring, patch, or wearable sensor. The device collects sleep data over one or more nights and sends it to a licensed sleep physician for review, who delivers a diagnosis and, if OSA is confirmed, works with the patient's care team on a treatment plan. 

What Does HSAT Measure?

These apply to most, but not all, at-home sleep devices. For example, a smart ring or watch wouldn’t be able to measure airflow or respiratory effort as examples.

• Airflow — via a nasal cannula or thermistor, to detect breathing pauses or reductions

• Respiratory effort — belts around the chest and abdomen, measuring breathing movement

• Oxygen saturation (SpO₂) — a pulse oximeter on the finger, tracking blood oxygen levels

• Heart rate — typically captured alongside SpO₂

• Snoring — via a microphone or vibration sensor

• Body position — to note whether apnea events are position-dependent, such as worse when lying on the back

• Sleep time estimate — via actigraphy or derived from the above signals (HSAT does not directly measure sleep stages the way an in-lab study does)

Key Metrics Produced

• AHI (Apnea-Hypopnea Index) — the number of apnea or hypopnea events per hour, and the primary diagnostic number

• ODI (Oxygen Desaturation Index) — how often blood oxygen drops by 3–4% or more

• T90 — the percentage of time SpO₂ spends below 90%

What HSAT Doesn't Include, Compared to In-Lab PSG

In-lab polysomnography (PSG) captures a few things HSAT doesn't: EEG (brain activity, for sleep staging), EMG (muscle activity and limb movements), EOG (eye movements, for detecting REM sleep), full video monitoring, and a technician present throughout the night. That added depth is why PSG remains the better fit for complex cases, while HSAT is built for straightforward OSA screening at scale.

No lab visit, no overnight stay, and a diagnosis in about a week. A licensed physician reviews and signs off on every HSAT result, the same as in a lab-based study.

How Do You Add Sleep Testing to Your Business?

Adding sleep testing is less about purchasing equipment and more about building the right clinical workflow.

Most organizations focus on four key components.

1. Identify the Your Audience

The first step is determining how patients will enter your sleep testing program. Some organizations screen patients during routine visits. Others incorporate sleep assessments into virtual care, weight management, chronic disease management, or wellness programs.

2. Choose Your Testing Modality

Not every patient is a candidate for at-home testing. Home sleep testing (HSAT) works well for straightforward obstructive sleep apnea cases and is more scalable, cost-effective, and convenient for patients. In-lab polysomnography (PSG) is better suited for complex cases, including suspected central sleep apnea, significant cardiopulmonary conditions, or patients who fail an initial home study. Defining which modality your program will support, or both, determines your technology, logistics, and clinical workflow from the start.

3. Establish Clinical Oversight

Sleep testing requires licensed providers to determine patient eligibility, interpret study results, and recommend appropriate next steps or escalation. If you don’t have the resources to build this in-house, working with an experienced virtual care provider allows organizations to offer these services without building an in-house sleep medicine team.

4. Define the Treatment Pathway

A positive test result needs a clear next step. Determine who initiates treatment, manages referrals, or prescribes therapy like CPAP. Closing the clinical loop is essential for patient outcomes and program credibility.

5. Confirm Reimbursement and Billing

Understanding how sleep testing gets billed is essential before launching. This includes verifying insurance coverage, Medicare/Medicaid eligibility, applicable CPT codes, and prior authorization requirements. Or, setting up a payment processor for cash-pay models. A clear billing strategy protects revenue and reduces claim denials.

6. Build the Right Technology and Partner Network

Many organizations choose providers that offer the technology, clinical infrastructure, and operational support needed to launch efficiently. Instead of coordinating multiple vendors independently, organizations can simplify implementation through an integrated virtual care model.

7. Train Your Staff

Someone has to field patient questions, assist with device setup, and manage incomplete or failed studies. Preparing your team before patients enter the program reduces friction and ensures a consistent experience.

8. Manage Device Logistics

For at-home sleep studies, establish how devices will reach patients, whether by mail or in-office, and how they will be returned, tracked, and cleaned or replaced. Getting logistics right early prevents delays and improves study completion rates.

9. Create a Seamless Patient Workflow

Patients should have a positive  experience from screening through follow-up care. That includes enrollment, informed consent, device education, testing, result delivery, and documentation. A streamlined workflow reduces administrative burden and makes it easier for patients to complete the process.

10. Track Outcomes and Program Performance

Measuring study completion rates, diagnostic positivity rates, and treatment initiation helps evaluate whether the program is working. These metrics matter to health system leadership, payers, and providers alike.

What Should You Look for in a Sleep Testing Provider?

Don’t want to build this on your own? The right provider should do more than offer access to home sleep testing.

Look for a solution that supports the full patient journey, including clinical oversight, technology, and operational workflows.

As you compare options, consider whether a partner offers:

• Licensed healthcare providers

• HIPAA-compliant technology

• Sleep testing workflows

• Patient communication and follow-up support

• Scalable implementation

• Integration with your existing operations

Choosing the right provider can simplify implementation while helping your organization deliver a consistent patient experience as your program grows.

Expand Into Sleep Diagnostics with OpenLoop

Adding sleep diagnostics doesn't have to mean building a brand new clinical service from the ground up.

Through OpenLoop's virtual care infrastructure and partnership with Happy Sleep, organizations can integrate at-home sleep apnea testing into existing care models while relying on experienced providers for clinical support, operational coordination, and technology.

The organizations best positioned to benefit are the ones with an unaddressed gap in their existing patient base. Sleep testing gives you a way to close that gap without adding headcount or reinventing your clinical model.

Talk to our team to learn more about our sleep diagnostics offering.