As America’s health care system shifts from volume to value, one thing is clear: Homecare—especially non-medical homecare—is no longer optional. It’s essential.
Older adults want to age at home. Hospitals and health systems are under pressure to reduce readmissions. Value-based care (VBC) is quickly becoming the standard, and in the middle of it all sits homecare, perfectly positioned to play a starring role in a reimagined care model built around the person, not the procedure.
So, what’s holding non-medical agencies back?
It’s time to stop thinking of homecare as just “supportive services.” Instead, think partner. Provider. Key player.
Rethinking the Role of Homecare
The home is quickly becoming the new frontier of health care, and for good reason. It’s where recovery feels most natural, where patients feel most safe and where costs are lowest. Value-based care models recognize this—and reward it.
VBC ties financial incentives to quality outcomes, not volume of services.
The model is built around the Quintuple Aim:
- Improved health outcomes
- Lower costs
- Reduced hospitalizations
- Better patient and caregiver satisfaction
- Health equity and addressing social determinants of health
That fifth aim—social determinants of health—is where non-medical homecare agencies shine. Supporting activities of daily living (ADLs), reducing isolation, preventing falls and managing functional decline are not just “nice-to-haves.” They’re critical to keeping people out of hospitals. And they’re measurable.
Non-Medical ≠ Nonessential
One of the biggest missteps non-medical homecare agencies make is assuming that terms like hospital at home, the Patient Driven Groupings Model (PDGM) or the Home Health Value-Based Purchasing Program are out of their lane. Basically, they think that if it sounds medical, it’s not their role.
Nothing could be further from the truth.
Take the PDGM used in home health. Seven out of the eight functional impairment levels are directly tied to ADLs—things like grooming, dressing, bathing and ambulation, which are the services non-medical agencies provide every single day. And they directly impact readmission risk, length of recovery and quality of life.
By helping clients remain safe and independent in their homes, homecare agencies are actively driving VBC goals—whether or not they’ve realized it.
Data is the Key to the Conversation
Here’s the challenge: you have to prove it.
Stakeholders—hospitals, payers and health systems—are looking for partners who can demonstrate outcomes. That means embracing data. But it doesn’t have to be complicated.
Stick to the key metrics Centers for Medicare & Medicaid Services (CMS) and payers already care about:
- Hospital readmission rates
- Falls and injury prevention
- Functional status (i.e., independence with ADLs)
- Satisfaction scores from clients, families and caregivers
These are all things non-medical homecare can influence and track. In fact, you probably already are. The opportunity is in packaging that information to show your value.
Because without data, as W. Edwards Deming famously said, “you’re just another person with an opinion.”
Collaboration Is the Future
The new homecare model isn’t about going it alone. It’s about being part of an interdisciplinary team focused on whole-person care.
Hospitals and home health agencies are looking for partners who can help close the gaps between discharge and full recovery. That means coordinating care, sharing information and understanding your role in a bigger picture.
This team-based approach doesn’t just benefit the patient—it’s good for business. Partnerships open the door to new service lines, referrals and funding models. Agencies that can offer a seamless continuum of care—from clinical to supportive—will have a serious competitive edge.
But first, you have to shift your mindset.
From Service Provider to Strategic Partner
Non-medical homecare agencies have the chance to be more than just “helpers” or “companions.” You can be:
- A rehospitalization prevention partner
- A functional independence expert
- A frontline force against social isolation
- A core member of a value-based care team
But this requires a new way of thinking and operating. To thrive in this new environment, today’s homecare agency must:
- Embrace innovation and technology
- Invest in data and reporting
- Pursue strategic partnerships
- Take risks and explore new care models
- Shift from a service mindset to a value mindset
Value-Based Care Is Here to Stay
CMS is all in on VBC. In fact, they’ve set a bold target: By 2030, 100% of Medicare beneficiaries will be in a value-based care arrangement. So the question is no longer if you should prepare—it's how fast can you do it? Can you afford to be left out of these conversations? Or will you be one of the agencies leading the way?
Your Value Proposition Starts Now
All stakeholders—payers, hospitals, home health, accountable care oganizations—are wrestling with the same pain points:
- High readmission rates
- Functional decline
- Care gaps between settings
- Burnout and caregiver strain
Your job? Show them how you can help.
Establish your unique value proposition. Start with the impact you’re already having. Use data to tell your story. Build the relationships. Be ready to talk metrics, not just moments.
Because homecare isn’t just part of the solution—it’s the setting where the solution happens. In 2016, the Remington Report said “Your organization’s market position can be a predictor of your future sustainability.”
It was true then. It’s even more true now.
Editor’s note: This article is the first of two parts. To read the author’s advice for home health agencies on partnering with non-medical homecare organizations on value-based care, click here.