Remote Patient Monitoring (RPM) is an emerging technology paradigm that helps reduce clinician workload by automated monitoring and raising intelligent alarm signals. High sensitivity and intelligent data-processing algorithms used in RPM devices result in frequent false-positive alarms, resulting in alarm fatigue. This study aims to critically review the existing literature to identify the causes of these false-positive alarms and categorize the various interventions used in the literature to eliminate these causes. That act as a catalog and helps in false alarm reduction algorithm design. A step-by-step approach to building an effective alarm signal generator for clinical use has been proposed in this work. Second, the possible causes of false-positive alarms amongst RPM applications were analyzed from the literature. Third, a critical review has been done of the various interventions used in the literature depending on causes and classification based on four major approaches: clinical knowledge, physiological data, medical sensor devices, and clinical environments. A practical clinical alarm strategy could be developed by following our pentagon approach. The first phase of this approach emphasizes identifying the various causes for the high number of false-positive alarms. Future research will focus on developing a false alarm reduction method using data mining.