Internet of Things (IOT) visualizes a future of anything anywhere by anyone at any time. The Information and communication technologies help in creating a revolution in digital technology. IOT are known for interconnecting various physical devices with the networks. In IOT, various physical devices are embedded with different types of sensors and other devices to exchange data between them. An embedded system is a combination of software and hardware where they are programmed for functioning specific functions. These data can be accessed from any parts of the world by making use of cloud. This can be used for creating a digital world, smart homes, healthcare systems and real life data exchange like smart banking. Though Internet of things has emerged long back, it is now becoming popular and gaining attention lately. In healthcare industry, some of the hospitals started using sensors implemented in the bed to get the status of patient's movement and other activities. This paper contains various IOT applications and the role of IOT in the healthcare system, challenges in the healthcare system using IOT. Also, introduced a secured surveillance monitoring system for reading and storing patient's details using low power for transmitting the data. © 2017 IEEE.