This article is exclusive content for SHN+ subscribers. If you have been following Brookdale Senior Living (NYSE: BKD) in recent years, you are likely familiar with their HealthPlus program. In a recent conversation with Brookdale CEO Cindy Baier, we discussed the program and its role in the company’s growth strategy.
Baier emphasized the importance of health, especially as one ages, and highlighted the program’s focus on becoming a more integrated part of the healthcare continuum. Launched in early 2020, HealthPlus now operates in approximately 50 communities and aims to expand to 150 communities within Brookdale’s portfolio of around 650 properties.
Since its inception, HealthPlus has shown promising results, including a 78% decrease in urgent care visits and a 36% decrease in hospitalizations for residents. Additionally, communities offering the program have achieved profitability at a faster rate than those that do not.
Brookdale’s size gives it leverage with insurance providers and health systems, allowing for potential collaborations to further enhance the program’s impact. Through HealthPlus, Brookdale aims to provide essential services to residents while also offsetting operational costs.
The program, facilitated by registered nurses, focuses on coordinating care for residents, managing chronic conditions, and promoting preventive care. Electronic health record technology assists in tracking resident health in real-time, allowing for timely interventions if necessary.
Brookdale negotiates a per-member, per-month plan for residents enrolled in qualifying health plans, contributing to the sustainability of the program. As the program expands, training for staff and updated protocols are implemented to ensure successful implementation.
Looking ahead, Baier sees the future of senior living shifting towards value-based care, with Medicare Advantage plans becoming increasingly prevalent. Providers are recognizing the importance of managing health outcomes outside of traditional medical settings, emphasizing preventive care and lifestyle management.
Industry trends indicate a growing focus on preventative care in senior living, with companies like Juniper Communities and the Senior Living Transformation Company exploring similar care coordination models. The rise of Medicare Advantage presents opportunities for senior living providers to tap into new revenue streams, potentially through ownership in special needs plans.
In conclusion, the evolution towards value-based care underscores the importance for senior living operators to adapt and negotiate with health plans in their markets. Brookdale’s HealthPlus program stands out as a model for achieving positive health outcomes while navigating the changing landscape of healthcare. As the program continues to expand, it will be interesting to see how Brookdale leverages its results to drive further collaboration with payers and insurers.
