Amedisys (NASDAQ: AMED) has partnered with the UMC Well being System in Texas to launch a brand new hospice and residential well being location. The brand new operation will serve sufferers in Lubbock and the encompassing communities.
With the COVID-19 pandemic inflicting sufferers nervousness about receiving institutional care, the outbreak has accelerated the development of transferring extra well being care into the house. Hospital techniques are more and more looking for to bolster their community-based providers, as evidenced most just lately by HCA Healthcare’s (NYSE: HCA) $400 million purchase of a majority stake in Brookdale Senior Dwelling’s (NYSE: BKD) hospice and residential well being section.
“UMC Well being System was searching for a house care-based companion to assist broaden our dwelling well being affect and add a hospice service line. Amedisys was seeking to get into the Lubbock market,” Aaron Davis, chief expertise officer at UMC, informed Hospice Information. “UMC Well being System reached out to Amedisys, and as we met and mentioned this chance, it turned clear to each organizations that we every had been centered on high quality affected person care and serving individuals effectively.”
The size and status of Amedisys hospice operations had been engaging to UMC, which is launching its first home-based hospice service by means of this deal, in accordance with Davis. Amedisys had the sources to hit the bottom operating in opening the brand new company, which was additionally an element within the well being techniques determination to pursue a partnership.
UMC owns 50% and Amedisys owns 50% of the brand new location, branded as UMC House Well being and Hospice, an Amedisys companion, LLC.
Demographic tailwinds have been fueling a thriving hospice market in Texas. The Lone Star State has the third largest aged inhabitants within the nation, in accordance with the Texas Demographic Middle, a state establishment. The variety of Texans 65 or older grew by 49.5% between 2000 and 2014. Solely California skilled a better price of enhance amongst their senior inhabitants.
Texas ranks fifteenth among the many states in hospice utilization, with 52.8% of Medicare decedents electing hospice in 2018, in accordance with the Nationwide Hospice & Palliative Care Group. Utah had the very best price of utilization that 12 months at 60.5%, in comparison with a nationwide common of barely greater than 50%.
“UMC Well being System needs to enhance our dwelling well being high quality and work with dwelling care specialists to offer one of the best take care of our sufferers and our group. As UMC researched beginning a hospice company, the success of Amedisys Hospice made them an especially engaging companion,” Davis stated. “The partnership combines UMC Well being System’s native market status and Amedisys’ dwelling care experience and help techniques.”