By Monica E. Oss, Chief Executive Officer, OPEN MINDS
As I read the market updates that drew the most interest of executives last year, I was reminded of this quote from business guru Peter Drucker, “Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window…”
Thinking about the listāof last year’s changes in payer management tools and of retail health, innovation, investments, and mergers and acquisitionsāit was striking how quickly the landscape has changed in just 12 months. Since the start of this year, payers have continued to adopt more (and different) digital solutionsāEvernorth Expands Access To Alcohol Addiction Treatment With Monumentās Virtual Services and Blue Shield Of California Adds Ginger To Wellvolution Platform To Expand Mental Health Support. And, the competition in retail health has taken a big jump over the past couple monthsāTeladoc & Amazon Launch Teladoc On Alexa For Nationwide Access To Non-Emergency Telehealth Service and Walgreens & VillageMD Expand In Florida With Five New Full-Service, Primary Care Practices Opening In Jacksonville.
Investment and mergers and acquisitions activities have continued at a break neck pace. There were many notable investments made in the first quarter of this yearāOmada Health Closes $192 Million Series E Financing To Expand The Reach Of Its Virtual-First Chronic Disease Care Platform and Ophelia Raises $50 Million In Series B Funding, Led by Tiger Global, To Expand Its Novel Approach To Opioid Addiction Treatment. And the list of mergers and acquisitions continues to grow – Lightfully Behavioral Health Acquires Resilience Treatment Center for Mental Health To Launch Facility-Based Services In California and Summit BHC Acquires Seven Psychiatric Hospitals From Strategic Behavioral Health.
While it may be impossible for executive teams to predict the future, the key for success in this market is to get the sense of the direction of the market and be prepared to act quickly when changes occur. Or to quote acting phenom Will Smith, “…if you stay ready, you aint gotta get ready…”
Payer Adoption Of Digital Innovations
Humana Partners With NowPow To Address Social Needs For Chicago-Area Medicare & Medicaid Members
In May 2021, Humana Inc. announced its partnership with NowPow to improve the health of Medicaid and Medicare communities across Chicago. Humana planned to leverage NowPowās personalized community referral platform to help improve membersā health by meeting their social determinants of health needs including food insecurity, loneliness and social isolation, and transportation.
Geisinger & Noteworth Launch ConnectedCare365 Virtual Care Platform To Manage Chronic Diseases
Geisinger launched ConnectedCare365, an innovative care delivery model for consumers with chronic diseases like diabetes, heart failure, and hypertension, in May of 2021. Powered by Noteworth, a digital health startup, this first-of-its-kind virtual care delivery platform uses remote monitoring, artificial intelligence, and data analysis tools to improve consumer outcomes.
Ohio Department Of Mental Health & Addiction Services Will Provide Access To Pear Therapeutics Prescription Digital Therapeutics For Addiction Treatment
Pear Therapeutics, Inc. announced in April of 2021, that the Ohio Department of Mental Health and Addiction Services (OhioMHAS) and RecoveryOhio were providing eligible consumers with access to Pearās FDA-authorized prescription digital therapeutics for the treatment of substance use disorder and opioid use disorder.
Expansion Of Retail Health
CVS HealthHUBs To Pilot Behavioral Health Services In 34 Locations
In March 2021, CVS Health announced plans for a behavioral health pilot program in 34 HealthHUB locations in four states. The pilot initially launched at 17 HealthHUB locations in three states: Florida (six locations), Pennsylvania (four locations); and Texas (seven locations), with expansion to 17 more locationsāsix in New Jersey, one in Florida, three in Pennsylvania, and seven in Texas.
Walmart Stores In Seven States To Offer COVID-19 Vaccinations
On January 2021, Walmart began offering vaccinations for coronavirus disease 2019 (COVID-19) in seven states: Georgia, Indiana, Louisiana, Maryland, New Jersey, South Carolina, and Texas. Vaccinations were also made available at Walmart locations in Chicago, Illinois, and in Puerto Rico. At full capacity, the retailer anticipated delivering 10 to 13 million doses per month.
Innovations In The Market
Teladoc Health Launches āmyStrength Completeā As First Unified Mental Health Care Experience
Teladoc Health, Inc. launched āmyStrength Completeā in May of 2021, an integrated mental health service providing personalized, targeted care to consumers in a single, comprehensive experience. Initial buyers of myStrength Complete included a major Blues plan and a Fortune 100 employer.
Benson Hospital Partners With Concert Health To Bring Integrated Behavioral Health Services To Its Primary Care Practices
In May 2021, Benson Hospital, a critical access hospital that provides comprehensive, family-centered care at rural health clinics in southern Arizona, announced a partnership with Concert Health, a leading behavioral health medical group. This innovative collaboration offers critical behavioral health services integrated directly within primary care, and same-day access to Concert Healthās professionals.
The MENTOR Network Rebrands As Sevita
In September of 2021, The MENTOR Network, a national provider of home and community-based specialized health care, rebranded as Sevita. This rebranding focused on the organizationās use of new models of care, innovation, technology, and collaboration. The organization also entered a joint venture to launch virtual medical clinics for people with I/DD.
FDA Approves Biogenās Aduhelm, A New Treatment For Alzheimerās Disease
In June of 2021, the U.S. Food and Drug Administration (FDA) approved Aduhelm developed by Biogen Inc. to treat people with Alzheimerās disease. Aduhelm, a human monoclonal antibody, is the first novel therapy approved to treat Alzheimerās disease since 2003.
Notable Investments
Virtual Behavioral Health Provider Organization Brave Health Raises $10 Million
Brave Health, which provides virtual-first behavioral health services for Medicaid populations, announced growth into 10 states and a $10 million Series B financing round. The company plans to use the funds to continue expanding into more states in 2022. In October of 2021, Brave Health had raised $20.75 million.
Behavior Change Digital Health Company Noom Raises $540 Million, Planning To Expand Into Diabetes & High Blood Pressure Wellness Coaching
Digital health company Noom, which provides behavior change programs for weight loss, raised $540 million in Series F funding in May of 2021. Noom intends to use the newly raised capital to expand its behavior change platform to new geographies and employee benefits programs, and to address a broad range of conditions, such as stress and anxiety, diabetes, hypertension, and sleep.
CareMax & IMC To Combine With SPAC Deerfield Healthcare
CareMax Medical Group, LLC (CareMax Medical Centers) and IMC Medical Group Holdings, LLC (IMC Health), technology-enabled provider organizations of value-based care to seniors, announced an agreement on their business combination in December of 2020. The renamed, CareMax will operate 26 medical centers in South and Central Florida, servicing approximately 16,000 Medicare Advantage members under value-based contracts, as well as 36,000 managed Medicaid and Affordable Care Act consumers with high touch health care and social services.
Mergers & Acquisition
Vertava Health Acquires Integrated Addiction Care Associates In Tennessee
In May of 2021, Vertava Health, a national behavioral health care system for mental health and addiction disorder treatment, acquired Memphis-based Integrated Addiction Care Associates (IAC), which provides outpatient behavioral health services. The acquisition expands Vertava Healthās outpatient medication assisted treatments (MAT), intensive outpatient programs (IOP) and primary care service offerings, and its presence in Tennessee, Mississippi, and Arkansas.
Mindoula Acquires 180 Health Partners & Its Strongwellā¢ Addiction Treatment Platform
Mindoula, a digital health company, acquired 180 Health Partners and its Strongwellā¢ programs that support addiction treatment for pregnant and post-natal women, in March of 2021. Mindoula provides digital products that support delivery of collaborative care and population health management programs. 180 Health Partners provides programs to treat addiction and behavioral health challenges.
Broadstep Behavioral Health Expands In South Carolina With Acquisition Of Excalibur Youth Services
North Carolina-based Broadstep Behavioral Health, Inc., acquired South Carolina-based Excalibur Youth Services LLC in January of 2021. The transaction expands Broadstepās geographic reach and services in South Carolina, representing nearly 25% of the stateās population. Excalibur had provided residential treatment services to people with I/DD and severe mental illness throughout South Carolina and North Carolina.