It’s no secret regarding the influx of mergers and acquisitions activity in home health and hospice for 2017. But why? Home Health and Hospice Managing Director Mark Kulik explained to Home Health Care News that more types of buyers are now actively acquiring home health agencies due to financial considerations.
“A few years ago it was that volume was generating money. Now you’ve got bundling and ACOs [accountable care organizations] and risk-sharing scenarios and the pilot program for hospice called Medicare Care Choices…I would say all these pilot or experimental programs have encouraged collaboration and blurring across the traditional payor lines, so care is no longer defined by traditional payor rules, but is more about, how can I get this patient better, less expensively, and keep this patient from needing more care?”