The highest 10 dwelling care information tales of 2024
Main offers encountered snags. Cuts to dwelling care continued. The regulatory noise got here from all sides, in Medicare and in Medicaid.
All of those realities discovered their approach into Dwelling Well being Care Information' hottest tales of the yr.
To summarize the 2024 that suppliers had, HHCN critiques 10 of the most-read tales.
1. Dwelling care sector rejects 80-20 rule, warns that company closures are coming (April 22)
When the Making certain Entry to Medicaid Companies rule was finalized in April after first being proposed in 2023, all eyes have been on the 80-20 provision.
The availability requires that 80% of Medicaid funds for dwelling and community-based providers (HCBS) be put aside for caregiver wages, with some caveats. The availability grew to become essentially the most controversial facet of the rule, with suppliers and {industry} advocates talking out towards it through the public remark interval and past.
Many suppliers imagine that higher charges are one of the simplest ways to make sure that caregivers are correctly compensated.
“Entry to care is a shared objective, and so is growing reimbursement for our suppliers,” Tim Hanold, CEO of Care Benefit, advised Dwelling Well being Care Information in April. “I feel we're all on the identical web page there. The CMS rule began with good intentions, however there will definitely be unintended penalties if it comes out as written. Charge adequacy actually stays the important thing driver for offering satisfactory wages, and I feel that's what the federal government ought to give attention to to enhance entry to care.
At present, the supply is six years away from implementation. There may be additionally a perception that the Trump administration may abolish this fully.
2. Decide orders VitalCaring to share 43% of income with Embody Well being, Enhabit (December 3)
A latest story making waves within the dwelling well being care {industry} is the information {that a} federal decide in Delaware has ordered VitalCaring to share future income with Embody Well being (NYSE: EHC) and Enhabit Inc. (NYSE: EHAB). The corporate should put 43% of its income into belief for Embody and Enhabit, if the order stands.
“A good portion of the 43% proceeds will stream to Embody because of the intentional misconduct that VitalCaring has produced,” the court docket stated.
Over time, Embody Well being has spoken out about claims that VitalCaring's CEO employed unethical practices to launch the corporate.
Each firms contemplate the choice a significant victory.
“Embody Well being and Enhabit have filed a lawsuit to guard the pursuits of their shareholders within the wake of the unlawful and outrageous conduct of Anthony and the opposite former officers,” the corporate stated in an announcement. “Embody Well being and Enhabit imagine that the broader investing public may even profit from the clear message from the Delaware Court docket of Chancery that willful breaches of fiduciary responsibility and self-dealing by company officers can have severe penalties.”
VitalCaring's PE backers are presently contemplating an attraction.
3. How the Supreme Court docket's Chevron resolution may assist cease healthcare cuts (June 28)
Business insiders imagine a Supreme Court docket ruling in the summertime may have future implications for dwelling care.
In June, the U.S. Supreme Court docket struck down the Chevron doctrine precedent. On the whole, this precedent meant that when federal legislation is ambiguous or leaves an administrative hole, the courts should defer to regulatory companies' interpretation.
For dwelling well being suppliers, overturning the precedent may result in a much less highly effective Heart for Medicare & Medicaid Companies (CMS) sooner or later. That, in flip, may imply an finish to important rate of interest cuts.
4. DOJ sues to dam 'anticompetitive and unlawful' deal between UnitedHealth Group and Amedisys (November 12)
One of many largest tales of 2023 was the sale of Amedisys Inc. (Nasdaq: AMED) to UnitedHealth Group (NYSE: UNH.
Final month, the Division of Justice (DOJ) – together with the attorneys basic of the states of Illinois, Maryland, New Jersey and New York – filed an antitrust lawsuit in an try to dam the deal.
“We’re difficult this merger as a result of dwelling care and hospice sufferers and their households who’re experiencing a few of the most troublesome moments of their lives deserve reasonably priced, high-quality care choices,” U.S. Lawyer Common Merrick B. Garland stated in an announcement. “The Division of Justice won’t hesitate to cease illegal consolidation and monopolization within the well being care market that threatens to hurt susceptible sufferers, their households, and well being care staff.”
In the end, UnitedHealth Group didn’t withdraw from the Amedisys deal. Moreover, a brand new Trump administration taking energy subsequent month may imply adjustments on the DOJ.
5. The industry-wide turnover charge of dwelling care reaches virtually 80% (July 3)
Excessive turnover continues to be a continuing thorn within the aspect of the house care sector as a complete.
In July, Activated Insights' 2024 Benchmarking Report confirmed that dwelling care revenues have elevated over the previous two years. At present, the industry-wide attrition charge is 79.2%.
In terms of dwelling care, the report reveals that solely 16.4% of dwelling care and hospice nurse candidates have been employed final yr.
6. The Looming Dwelling Care Catastrophe in New York State (March 18)
Already a vibrant dwelling well being market, New York State confronted much more upheaval this yr.
Governor Kathy Hochul's 2025 govt finances included greater than $1 billion in cuts to the state's dwelling care packages. It additionally meant adjustments for New York's Shopper Directed Private Help Program (CDPAP), permitting dwelling care shoppers to rent the caregiver of their selection. These healthcare suppliers obtained compensation by way of this system.
The finances was handed in April and one statewide finances dealer was appointed to supervise the CDPAP. Earlier than the finances was handed, this system had a whole bunch of finances brokers.
In November, Public Partnerships LLC (PPL) was awarded the tax mediation contract in New York.
7. 'We want a break, please!': Dwelling well being suppliers pontificate at CMS on charge cuts (October 11)
When CMS opened the remark interval on the proposed 2025 dwelling well being care fee rule, it prompted many sharp reactions from the {industry}, together with from Henry Ford Well being and Major Dwelling Well being.
Nevertheless, one remark managed to seize in a single phrase how a lot of the {industry} felt: “towards.”
8. Enhabit walks away from UnitedHealthcare after '9 months of failed negotiations' (August 7)
After a whopping 9 months of failed negotiations with UnitedHealthcare, Enhabit Inc. (NYSE: EHAB) filed discover of termination on August 1.
Lower than per week later, Barb Jacobsmeyer, president and CEO of Enhabit, defined through the firm's Q2 earnings name.
“We are going to deploy our scientific sources to fee-for-service Medicare sufferers and to those that are members of the 68 favorable contracts,” she stated. “We stay dedicated to offering our robust high quality of care to United Healthcare members, if sooner or later they resolve to enter into contracts with acceptable charges.”
Since then, Enhabit has been in a position to work out a brand new cope with UnitedHealthcare.
9. 6 Dwelling Care Leaders to Watch, In line with Different Dwelling Care Leaders (January 29)
On this piece, dwelling care leaders took the time to specific their admiration for {industry} friends. Leaders like Qiana James, Ryan Iwamoto, Kevin Smith and others defined which executives they imagine are shifting the {industry} ahead general.
10. Pinnacle Dwelling Care CEO: Dwelling care margins will improve 'considerably' with AI (22 October)
In October, Pinnacle Dwelling Care CEO Shane Donaldson spoke with HHCN to debate its acquisition by New York-based HCS-Girling, and the way rising applied sciences may very well be an necessary software for dwelling care suppliers sooner or later.
“We’re on the cusp of a technological revolution,” Donaldson stated. “I do know it's thrilling for some folks, and alarming and worrying for different folks. However you're on the prepare, otherwise you higher bounce on it rapidly, as a result of it's leaving the station. That’s the actuality.”