DispatchHealth and Medically Home Merge to Create Leading Hospital-at-Home Provider

NoahAI News ·
DispatchHealth and Medically Home Merge to Create Leading Hospital-at-Home Provider

In a significant development for the hospital-at-home industry, DispatchHealth and Medically Home have announced their merger, creating one of the nation's largest providers of high-acuity care at home. The combined entity, which will operate under the DispatchHealth name, is set to revolutionize healthcare delivery by expanding access to hospital-level care in patients' homes across 50 major metropolitan areas.

Merger Details and Impact

The merger, expected to close midyear, will bring together two pioneers in the hospital-at-home space. DispatchHealth, founded in 2013, has been providing full-service hospital-at-home care and in-home urgent care services. Medically Home, established in 2016, has developed technology that powers hospital-at-home programs nationwide, offering comprehensive frameworks for care delivery.

Once complete, the merged company will partner with 40 health systems and maintain connections with most major health plans and value-based care entities. This extensive network is projected to save up to 62,000 inpatient hospital stays annually while reducing per-patient costs by up to 30% per month.

Jennifer Webster, CEO of DispatchHealth, emphasized the merger's potential, stating, "We've proven the home can be an extension of the hospital while improving the quality of care. This merger brings together two complementary pioneers in hospital-level care at home, accelerating our ability to expand access, lower costs, drive value, and improve capacity for health systems across the country."

Expanding Access to High-Acuity Care

The combined entity will leverage telehealth, virtual call centers, and in-home devices to provide high-complexity care, including services for oncology patients and organ transplant recipients. Medically Home's technology, which includes a 24/7 Medical Command Center and bedside technology, will be integrated with DispatchHealth's existing services to create a comprehensive care platform.

Pippa Shulman, Chief Medical Officer and Chief Strategy Officer of Medically Home, highlighted the merger's potential to improve healthcare equity: "Hospital-at-home has consistently demonstrated better outcomes, and we believe every patient—regardless of where they live—deserves access to that level of care. This merger allows us to break down barriers, reaching more families in underserved communities with high-quality, advanced medical care in their homes."

Regulatory Environment and Future Outlook

The merger comes at a time of growing support for hospital-at-home care models. The Centers for Medicare & Medicaid Services (CMS) recently extended its Acute Hospital Care At Home program waiver, allowing hospitals to receive Medicare reimbursement for qualifying patients treated at home. This waiver, initially implemented during the COVID-19 pandemic, has been extended through September 30, 2025, with bipartisan support for a potential five-year extension.

As the healthcare industry continues to evolve, the DispatchHealth and Medically Home merger represents a significant step towards expanding access to high-quality, cost-effective care outside traditional hospital settings. The combined expertise and resources of these two industry leaders are poised to accelerate the adoption of hospital-at-home models across the United States, potentially reshaping the future of healthcare delivery.

References