HomeCare February 20, 2024
Report from the Private Equity Stakeholder Project exposes little-reported role of PE in Medicare Advantage
A new report, released by the Private Equity Stakeholder Project (PESP), examines the role of private equity (PE) in the growing multibillion-dollar Medicare Advantage (MA) industry. With a rapidly aging population in the U.S., and therefore growing market for Medicare Advantage products, the MA sector has provided ample opportunity for investors seeking quick profits, be it through insurance plans, in-home health assessment companies or brokerage and marketing firms.
The report finds, in part:
- Private equity firms have found value in investing in the Medicare Advantage sector, as evidenced by their deal activity in this space from 2016-2023.
- The majority of the PE investments...