Kaiser Permanente and an investment firm are teaming up to launch a Program of All-Inclusive Care for the Elderly (PACE) venture.
Specifically dubbed Habitat Health, Kaiser and Town Hall Ventures will begin building out the program in California in 2025 – in Sacramento and Los Angeles.
“Our dedication to helping improve the health of our communities and members includes ensuring that people covered by Medicaid and Medicare can count on receiving the care and coordination that Kaiser Permanente delivers to our members,” Bechara Choucair, chief health officer at Kaiser Permanente, said in a statement. “By combining our expertise in integrated care with Town Hall Ventures’ experience launching businesses that support underserved communities, Habitat Health will help ensure that people who need the most care have access to high-quality, equitable medical care and services as they continue to age well in the communities that have cared for and supported them.”
Traditionally, PACE programs care for dual-eligible individuals in communities. Providers of the model take on full risk and responsibility for their patients, partnering with other home- and community-based providers on the way.
PACE has gained popularity since the height of the COVID-19 pandemic, when it performed very well in comparison to nursing homes and other settings. There are about 160 PACE organizations currently operating in 32 states and the District of Columbia.
Many experts see it as a model ripe for expansion.
Kaiser and Town Hall Ventures hope to be a leader in the space, aiming to become a “national provider rooted in local partnerships.”
“This new partnership intends to improve the care and quality of life for the growing number of Americans who need it most,” Maria Ansari, CEO and executive director of The Permanente Medical Group, said in a statement. “Kaiser Permanente members who choose to join Habitat Health will receive continuity of care through PACE centers and in their home, beginning in Sacramento.”
While Kaiser is one of the largest medical groups in the country – as well as a large payer – Town Hall Ventures has plenty of home-based care experience itself.
Previously, it has backed Signify Health, Curana Health, Landmark Health, HarmonyCares and a slew of other home-focused organizations.
“We have an extraordinary challenge in this country,” Andy Slavitt, general partner at Town Hall Ventures, said in a statement. “The number of people age 85 and older in our country will double by 2040. We need a better answer for the millions of older adults that is more humane, compassionate, scalable, and affordable for the nation. We share Kaiser Permanente’s commitment to finding innovative ways to improve community health, especially for underserved populations who need it most.”
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