Optum + Amedisys: Improving home health care for patients and families

Seniors deserve the best care, and their families deserve peace of mind when managing their loved ones’ health needs. When it comes time for end of life, seniors and their families deserve to be treated with compassion and the highest quality of care tailored to their unique needs. The combination of Optum and Amedisys will improve care within the deeply personal home health and hospice environments.

The Amedisys combination with Optum would be pro-competitive and further innovation, leading to improved patient outcomes and greater access to quality care. We will vigorously defend against the Department of Justice’s overreaching interpretation of the antitrust laws.

 

Home health care keeps people well

On average, patients who receive home health care are readmitted to a hospital 36% less than patients who do not receive home health care.


Get the facts

Home health care is a critical piece of the health care system and demand for these services is growing.

An aging population is creating a significant need for providers who can invest and scale to meet demand, especially as the health care priorities of the U.S. population shift. This is especially true given that 70% of adults 65 or older will likely need some form of long term care during their lives.

An estimated 3 million people in the U.S. received home health care in 2020 alone, with expectations of future growth.

By 2030, 18% of the U.S. population will be age 65 or older (compared to 13% in 2021), creating growing demand for solutions that enable older adults to age in place.

Home health and hospice care are highly competitive markets and this transaction will enhance that.

In metropolitan areas with approximately 500,000 residents, there are an average of 26 agencies serving the metro area. Geographies such as these illustrate the highly fragmented nature of the home health industry and the numerous options available to patients for home health care.

Once combined, Optum and Amedisys would operate just a fraction of all the home health and hospice care markets nationally. This combination will not adversely impact services in the U.S., with competition remaining strong across all metropolitan and county rural areas.

Optum and Amedisys have proactively addressed potential antitrust concerns through a robust proposed divestiture plan.

To ensure that robust competition continues, we agreed to divest a significant number of home health and hospice care centers to VitalCaring upon completion of this transaction.

VitalCaring is well equipped to effectively lead and grow the proposed divested care centers in the long-term.

VitalCaring and its executives are well-respected leaders in the home health and hospice care space, with approximately 58 locations across six states today, with plans to expand.

April Anthony, VitalCaring’s CEO, has a track record of success in building multiple successful home health and hospice companies virtually from scratch. In fact, she grew Encompass Health from a single location to the fourth-largest home health company in the U.S. with over 300 combined home health and hospice locations across more than 30 states.

VitalCaring is known for providing high-quality patient care and its commitment to patient quality.

 

Benefiting patients
and providers
 

This combination between Optum and Amedisys will streamline care delivery for patients and their families, increasing access to a higher standard of care through more consistent provider training, better coordination, and access to Optum’s technological tools and clinical expertise. For example, with increased resources for delivering care, we can reduce travel time, allowing providers more time with patients – where it matters most. 

 

Evolving the health care system to address the shifting needs of patients and their families

Optum believes that the future of health care lies in a value-based model designed to proactively help keep people healthy over the course of a lifetime. Home health care is a critical tool to that mission by allowing patients to see caregivers in their home before an acute emergency lands them in the hospital — an expensive and often unpleasant experience.

Luckily, there are thousands of home health care providers with many options for patients and families. But this highly fragmented market can be improved through better coordination and collaboration. Optum’s value-based care model will help bridge the gap between home health providers and other caregivers to deliver higher quality preventive care and better outcomes at a lower cost.

 

A pro-consumer transaction in a highly competitive market

The home health care market is highly competitive, with providers coming in many shapes and sizes. This will not change after the transaction. In fact, the combined Optum and Amedisys would operate just a fraction of all home health and hospice care centers nationally.

This combination will give providers more resources to deliver high-quality care, mitigating strain on the home care workforce and enhancing competition.

 

 

Media inquires

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