In a significant move poised to reshape the landscape of home-based healthcare, DispatchHealth and Medically Home have announced their merger. The union of these two industry leaders aims to create the nation’s most comprehensive high-acuity care platform, delivering hospital-level care directly to patients’ homes.
This merger brings together the strengths of two pioneering companies. Medically Home, founded in 2016, is renowned for its technology-driven approach, powering numerous hospital-at-home programs across the country. Their platform provides a robust framework, including a 24/7 Medical Command Center, bedside technology, and a team of dedicated clinicians, enabling health systems to deliver complex care in patients’ residences.
DispatchHealth, established in 2013, complements Medically Home’s technological prowess with its hands-on, full-service approach. Their clinicians provide direct bedside care, coordinating hospital requirements and offering in-home urgent care and post-facility recovery services. The combined entity, which will operate under the DispatchHealth name after the merger closes midyear, will extend its reach to 50 major metropolitan areas, collaborating with 40 health systems and connecting with most major health plans and value-based care organizations.
The merger is expected to yield substantial benefits, including a projected reduction of 62,000 inpatient hospital stays annually. By providing acute hospital-level care in the home, the combined company anticipates reducing the cost per patient by up to 30% per month.
This strategic move comes at a time when the demand for home-based healthcare is rapidly expanding, driven by an aging population and a growing preference for care delivered in the comfort of one’s own home. Research and Markets, in a November report, projected a 22% increase in home health volumes by 2034, underscoring the significant growth trajectory of the home care and hospice market. This trend validates the combined entity’s vision of expanding access to high-acuity care in the home, addressing the evolving needs of patients and healthcare systems alike.
“Healthcare demands innovative solutions that align clinical excellence with financial sustainability,” stated Jennifer Webster, CEO for DispatchHealth. “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.”
The timing of this merger coincides with the federal government’s continued support for the Acute Hospital Care At Home program. The Centers for Medicare & Medicaid Services (CMS) has repeatedly extended the waiver allowing hospitals to receive Medicare reimbursement for providing care in patients’ homes. This initiative, initially launched during the COVID-19 pandemic to alleviate hospital overcrowding, has demonstrated its value and garnered bipartisan support for further extension. Most recently, Congress extended the program through September 30, 2025, with growing momentum for a five-year extension.
“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,” said Pippa Shulman, chief medical officer and chief strategy officer of Medically Home. “This merger allows us to break down barriers, reaching more families in underserved communities with high-quality, advanced medical care in their homes.”
The merger of DispatchHealth and Medically Home represents a significant step forward in the evolution of home-based healthcare. By combining their expertise and resources, they aim to expand access to high-quality, cost-effective care for patients across the country. The integration of technology and hands-on clinical care is poised to redefine the delivery of acute care in the home, potentially transforming the healthcare landscape for years to come.
