PE-Backed PAX Health Acquires Harris Psychiatric Services

Private equity-backed behavioral health provider PAX Health has acquired Harris Psychiatry Services, a psychiatric care provider specializing in workers’ compensation. Financial terms of the deal were not disclosed. PAX Health was formed in March 2024 by merging three behavioral health companies: Behavioral Medicine Associates (BMA), Workers Compensation Psychological Network (WCPN) and Reservoir Health. The company […]

Talkspace’s Medicare, Tricare Deals Expand Free Access, Marketing Hurdles Remain

Thanks to Talkspace’s (NASDAQ: TALK) new partnerships with public payers, Tricare and Medicare, more individuals now have free access to the company’s assets. The tricky part is garnering awareness about the services.   Talkspace is also set to cover 200 million lives and is working to improve awareness that its services may be free for many […]

Senior-Focused Behavioral Health Solution Launches with $4M in Seed Funding

Vitalic, a new senior-focused behavioral health provider, has hit the market with $4 million in seed funding. Payvider VNS Health and venture capital investment firm Redesign Health are the company’s first investors. Vitalic’s virtual care model focuses on geriatric psychiatry, including therapy, coaching and medication management. “Despite the fact that this population continues to grow, […]

CMS to Limit Medicare Advantage Cost Sharing for Behavioral Health Services

The Centers for Medicare & Medicaid Services has prioritized equitable behavioral health care access, proposing a new rule to cap behavioral health costs for Medicare Advantage members. The proposed rule, scheduled to be published on Dec. 10, would require that Medicare Advantage in-network cost-sharing for mental health and substance use disorder (SUD) care not exceed […]

Medicaid, Elevated Behavioral Health Utilization Had Payers Talking in Q3

The ongoing need for behavioral health services will be no surprise to anyone involved in the industry. Patients continue to have high rates of need and often present with greater acuity. This demand for behavioral health services was reflected across payers’ Q3 earnings calls. The result? Sky-high utilization levels. For example, David Cordani, the CEO […]

Lifestance Surpasses 2024 Forecasts But Predicts Rockier Waters Ahead 

LifeStance Health (Nasdaq: LFST) is overhauling its facilities with a new operating model — one that it hopes will strengthen its position ahead of what executives expect to be a rocky 2025. The outpatient mental health giant’s executives project that federal reimbursement rate cuts will challenge the company’s financial progress. LifeStance is banking on momentum […]

Major Insurance Companies Back New Behavioral Health Measurement Standards Program

The National Quality Forum (NQF) has partnered with a coalition of health plans and the national digital therapy enablement platform Headway to create a new assessment tool that standardizes how behavioral health clinicians measure the progress of care. The behavioral health industry, across specialties, has struggled with a lack of a standardized data measurement set. […]

Court Ruling Could Massively Curb Health Care Litigation: What Behavioral Health Operators Should Know

A Florida federal court ruling issued last month could lead to a “massive sea change” in what lawsuits can be brought against behavioral health companies. That is the interpretation of Gregory Jones, a principal at the law firm Polsinelli’s Los Angeles office, who represents health care companies, including in False Claims Act (FCA) cases. FCA […]

BayMark Calls for Incentives to Serve Rural Areas, Changes in Medicare Advantage

Companies that treat opioid use disorder could commend themselves last month when the federal government reported overdose deaths were down nearly 11% for the first eight months of 2024, marking the second-straight year of decline. “It’s fantastic news,” Jason Kletter, president of BayMark Health Services, told Addiction Treatment Business. “It’s something to celebrate.” But the […]