Something's in the air

I had a conversation recently with someone who has been in the HME industry for quite some time – as a vendor and as a provider – and he said something to the effect of: The industry needs to give up on reimbursement getting better and lean into technology to make what little reimbursement there is more profitable. 

That’s not a hard line I would draw – and, of course, neither would AAHomecare and other industry stakeholders. 

In fact, stakeholders headed to Capitol Hill in May to meet with about 140 offices in the House of Representatives and Senate. The main talking point: Extend the 75/25 Medicare blended reimbursement rates in non-rural areas that expired on Dec 31, 2024. 
When Managing Editor Theresa Flaherty talked to AAHomecare about the need for the fly-in, Jay Witter didn’t mince words.

“We've continued to talk to House and Senate leadership in the committees, but they need to be riled up, they need to be talking about this, they need to be concerned,” he told her. “If the leadership wants to do something, you know they can do it.” 

Those are fighting words, as some would say. 

And yet. 

While the industry’s efforts to get reimbursement relief over the years have resulted in some big wins – those 75/25 blended rates, for one – those efforts have been all encompassing, and at what cost? Not for AAHomecare – fighting for fair reimbursement on the Hill is a big part, if not the most important part, of its job. But for providers – have they been putting enough focus on technology? 

Before the past year, I would have said no and part of the reason for that is they lacked the tools. Now, the number of tech-enabled companies and off-shoring companies that are making the more administrative part of the industry more efficient and less costly is almost exploding. 
I was talking to someone else in the industry recently – a provider – who said it’s been exciting but also overwhelming.

“There’s a bigger exercise to be done in looking at the entire organization and seeing what is really ripe for automation,” he said. “And then, is it acceptable – does the customer tolerate it, does the referral source tolerate it? And if they do, you have to find a company or a system that fits in that bucket and there a lot of them out there now.” 

The two don’t need to be mutually exclusive, of course. The industry needs both: It needs reimbursement that’s fair and it needs technology that’s pivotal to success today. 

I guess, at this moment, it’s just nice to also see the latter getting more airtime.