Behavioral Health Business December 8, 2023
Morgan Gonzales

The federal government could begin scrutinizing private equity-owned behavioral health practices.

The Biden-Harris administration announced new initiatives to thwart anti-competitive mergers and practices that could increase health care costs for patients. Private equity firms, health insurers and health systems will be subject to additional surveillance to foster competition in the behavioral health sector.

Although still largely fragmented, the behavioral health industry has increasingly become consolidated, at least partly because of payers’ interests. There have even been direct calls to action for increased consolidation in the behavioral health space.

Yet, health care consolidation tends to raise prices without notably increasing care quality, according to research.

The Biden-Harris Administration is taking aim at health care consolidation...

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Topics: Congress / White House, Govt Agencies, Mental Health, Mergers & Acquisitions / JV, Provider, Trends
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