According to Kalorama Information, CVS Health Corporation’s agreement of May 21 to acquire Omnicare for approximately $12.7 billion fits a prevailing trend in the healthcare industry – to seek to benefit from an aging population. The U.S. long term care industry has experienced steady growth and this is expected to continue as the aging population increases demand for all forms of long term care, including pharmacy services. The healthcare market researcher’s report, The Long Term Care Market: Nursing Homes, Home Care, Hospice Care, and Assisted Living, covers the most important segments of the long term care industry, each of which provide medical care and/or assistance with the activities of daily living on an ongoing basis.
Omnicare, Inc. provides comprehensive pharmaceutical services to patients and providers across the United States as a market-leader in professional pharmacy, related consulting and data management services for skilled nursing, assisted living and other chronic care institutions. With the acquisition of Omnicare, CVS Health will significantly expand its ability to dispense prescriptions in assisted living and long term care facilities, expanding its presence in the rapidly growing specialty pharmacy business.
The Long Term Care Market report can be found at Kalorama Information: https://www.kaloramainformation.com/redirect.asp?progid=87504&productid=8057118.
“A driving factor in the aging of the population is the increase in life expectancy, which has reached an all time high of almost 79 years,” said Bruce Carlson, Publisher of Kalorama Information. “There is a growing need to serve the senior patient population and companies are certainly going to try to fulfill that.”
Like other segments of the long term care market, the nursing home sector benefits from the aging population, serving a community that suffers from a range of chronic conditions such as cardiovascular disease, diabetes and dementia, which require ongoing care. While all nursing homes offer traditional nursing services, they also offer an array of other benefits, including pharmacy services.
The acquisition of Omnicare provides CVS Health with a new pharmacy dispensing channel, extending their pharmacy programs to a broader population of seniors and chronic care patients. CVS Health will be able to provide clinical pharmacy care across multiple treatment settings from retail to long term care.
Kalorama Information’s fifth edition of its detailed report on the long term care industry focuses on the elderly as the primary customers of long term care services. For each of the segments of long term care market the report provides:
• Market Size and Forecast
• Number of Facilities/Providers and Growth Trends
• Patient Statistics
• Forms of Payment and Reimbursement Levels
• Trends Affecting the Marketplace
• Competitors and Competitive Analysis
Sales estimates for each market segment represent U.S. revenues and are expressed in current dollars. Estimates are provided for the historic 2005 to 2009 period and forecasts are provided through 2015. As part of the report’s analysis of the state of the industry, the following issues and trends are discussed in the report: long term care insurance, technology needs, ACA, state quality improvement initiatives, legal actions, safety, aging of the population, marital and living arrangements, certification and accreditation, fees and payment, cost of coverage and affordability, staffing and human resources, geographic concentrations and building of new facilities.
Historical information for this report was gathered from a wide variety of published sources including company reports and filings, government documents, legal filings, trade journals, newspapers and business press, analysts’ reports and other sources. Interviews with company representatives were conducted to capture the perspectives from industry participants’ point of view and assess trends, and form the basis of the forecasting and competitive analysis.
Filed Under: Drug Discovery