Providence and Compassus Partner to Launch Home Health Care Joint Venture

Providence health system announced a new joint venture with home care provider Compassus to expand its reach in the home health market. The joint venture, “Providence at Home with Compassus,” will deliver a comprehensive range of services, including home health, hospice, community-based palliative care and private-duty caregiving.

Under the partnership, Compassus will oversee operations across 24 home health locations in Alaska, California, Oregon and Washington, along with 17 hospice and palliative care sites in Alaska, California, Oregon, Texas and Washington. According to Providence Chief Financial Officer Greg Hoffman, the initiative addresses the rising demand for home health and hospice care among aging populations. By expanding home health services, Providence aims to reduce the length of hospital stays and enhance post-acute care options, allowing for higher patient volumes in acute settings.

This expansion aligns with Providence’s efforts to improve patient-processing efficiency and bolster revenue following financial setbacks during the pandemic. Providence recently achieved operational profitability for the first half of the fiscal year, partly due to initiatives that cut patient lengths of stay by 4%.

The global home health market is projected to reach $666.9 billion by 2030, driven by growing demand among aging populations and increased telehealth adoption.