What You Should Know:
– Trella Health, a provider of market intelligence and integrated customer relationship management (CRM) solutions for post-acute care, Home Medical Equipment (HME), and Infusion organizations, has released its 2025 Post-Acute Care Industry Trend Report. The annual report offers a detailed analysis of national and state-level patient trends, utilization patterns, and market dynamics across home health, hospice, and skilled nursing.
– The report leverages Trella Health’s exclusive access to current Medicare Part A and B claims data, along with Medicare Advantage (MA) enrollment and admissions patterns. This provides essential insights for post-acute care organizations navigating today’s complex landscape.
2025 Post-Acute Care Industry Trend Report Key Takeaways
The 2025 Post-Acute Care Industry Trend Report highlights several significant shifts and trends:
- Medicare Advantage (MA) Continues Reshaping the Landscape: As of February 2025, 55.4% of Medicare beneficiaries are enrolled in Medicare Advantage, with 30 states now showing over 50% penetration. This indicates MA’s increasing dominance in the Medicare market.
- PPO Enrollment Growth Signals Potential Headwinds for Home Health: Between 2023 and 2024, enrollment in Preferred Provider Organization (PPO) plans—which typically utilize home health services at lower rates than Health Maintenance Organization (HMO) plans—rose 19.8%, while HMO enrollment grew by just 4.3%. This shift could present challenges for home health agencies.
- Adherence Drives Value-Based Outcomes: In 2024 Q3, patients who adhered to home health discharge instructions had a 30-day readmission rate of 12.7%, significantly lower compared to 15.1% for those who did not adhere. This 2.4-point gap underscores the impact of timely and appropriate care transitions on patient outcomes.
- Home Health’s Share of FFS Inpatient Discharges Rises: For the first time since 2020, the share of fee-for-service (FFS) inpatient discharges that included a home health referral rose to 22.6% in 2024 Q4, up from 22.1% the year prior.
- Hospice Admissions See Strongest Growth Since Pandemic: Total hospice admissions rose 3.7% between 2023 (1.55M) and 2024 (1.61M), indicating a significant rebound. Over 50% of Medicare mortalities are now occurring on hospice.
- Stark State-by-State Variation in Utilization: The report reveals persistent disparities across states, with home health FFS utilization varying by 25.1 percentage points and skilled nursing by 22.6 points. This highlights inconsistencies in discharge practices and access to post-acute care.
The report also examines emerging policy developments, including the proposed TEAM model, and explores how providers are responding to ongoing challenges in staffing, reimbursement, and the shift toward value-based care.
“At Trella Health, we believe better data leads to better healthcare,” said Scott Tapp, CEO at Trella Health. “This year’s report reinforces our commitment to delivering clarity through trusted, comprehensive insights — empowering better decision-making and stronger outcomes across the care continuum.”
