The substance use disorder (SUD) industry has changed dramatically in recent years, adapting to new technology, regulations, and medications.
The SUD platform of the future will take payer and technology trends into account, industry insiders told Addiction Treatment Business, and will continually re-educate itself on the best treatment methods.
However, future-proofing SUD providers must keep in mind basic principles such as developing their staff and listening to patients or risk running into multiple pitfalls.
Many providers are still adapting as the industry has evolved over the past decade.
“So [the SUD industry] We have really transformed in a relatively short period of time, from an industry that was fighting the battle to say we are a chronic disease,… [treating] “Legitimate health care needs,” John Driscoll, president and CEO of Caron Treatment Centers, told Addiction Treatment Business. “Today, this business model has changed. Most [patients] They are now in network and want to use their health care benefits. …So this has forced us in the industry to really change our model.
Caron Treatment Centers, headquartered in Wernersville, Pennsylvania, is a nonprofit organization that offers inpatient, outpatient, intensive outpatient (IOP) and partial hospitalization (PHP) programs for adolescents and adults, as well as medication-assisted treatment (MAT) and other services. .
Continuity of care
The future SUD platform will require a full continuum of care to benefit both patients and providers.
“It's no longer just 28 days of residential treatment,” Driscoll said. “It's a continuum. As we standardize clinical management, from residential to PHP to IOP to [outpatient programs] Through individual peer counselling, we also support patient ownership of the clinical management of the disease.
Caron provides a continuum of care for people with SUD. The industry overall focuses heavily on outpatient treatment modalities, with 83% offering outpatient services and only 24% and 75% offering residential and inpatient services, respectively, according to KFF.
Payers are increasingly looking for a full continuum of care, said Tom Greer, partner at Fulcrum Equity Partners. Creating a diverse offering list is key for any forward-looking provider.
“As in any healthcare environment, as healthcare evolves, being in-network is critical,” Greer said. “You have to get it. You're under threat of surprise medical bills or other things if you're not an in-network provider.”
Atlanta-based Fulcrum is a private equity firm that invests in healthcare services and seeks B2B technology companies. Its portfolio includes locating health centers and addiction complexes.
In-network providers may also have an advantage when attracting the attention of investors.
Technology is shaping the SUD industry
Advances in artificial intelligence and machine learning have been at the forefront of behavioral health providers' minds. Industry leaders predict that artificial intelligence will be one of the top trends of 2024, making behavioral health diagnosis and medication prescribing easier.
In the SUD industry, technology has the potential to help patients by sending digital warning alerts or even congratulations as people navigate treatment, Driscoll said.
Providers must use technology to measure outcomes, but doing so comes with security challenges, Greer said.
“We're starting to do that with the Addiction Campus,” Greer said. “The challenge with all of this is that it requires information to be entered into the system. … Can you trust what is put there?”
While technology will play a critical role in SUD treatment in the future, there will still be a need for brick-and-mortar locations.
SUD is a “social disease,” said Linda Micheletti, chief operating officer at Priceum Healthcare Services, suggesting that getting people off the couch and into treatment facilities will always be critical.
“Doing it all virtually through the computer is definitely a fallacy,” she said.
Florida-based Praesum Healthcare Services provides SUD treatment services at 32 locations across New Jersey, New York, Virginia, Massachusetts, Georgia and Florida. The company, which has historically opted for new growth, made its first acquisition in the summer of 2023.
Praesum plans to build out its inpatient and outpatient mental health programs, including adding two acute psychiatric hospitals in the first half of 2024, Micheletti told ATB.
Leaders and doctors are the future
Technology is one component of the SUD industry's evolution, but at its core, the SUD industry is only as good as its people.
“It's about good operators and good leaders who have been through ups and downs and can navigate different reimbursement environments and regulatory environments but also have access to those relationships for the next layer of management,” Greer said.
Shifts in regulations have already impacted the SUD industry in 2024. The Substance Abuse and Mental Health Services Administration (SAMHSA) limited methadone flexibilities to telehealth that were introduced during the beginning of the coronavirus (COVID-19) pandemic on January 31. Comply by October 2, 2024.
Not only do leaders need to look to the future, but having the right mix of employees is also required.
In addition to providing care from medical professionals, paraprofessionals and peers will also be central to the SUD platform in the future.
The peer workforce can be used as a tool to combat national workforce shortages. SAMHSA released National Model Standards for Peer Support Certification in 2023 to pave the way for a peer-certified workforce.
Regardless of job title, training and continuing education are key to continuing to successfully adapt to changing times. Doctors should be educated annually to ensure appropriate treatment is provided, Micheletti said.
Increased education is also key to preparing for the ongoing opioid epidemic, Micheletti said.
“You would be surprised at the number of doctors who are partially licensed or about to be licensed who don't know how to access Narcan or direct a patient to Narcan,” she said.
Beyond just education, providers need to stay connected with patients in order to successfully adapt to the times.
“We are constantly being educated, constantly looking at trends, constantly talking to the patients we serve,” Micheletti said. “This is how we can stay ahead of the curve and educate ourselves on the next things to offer next.”
Although service providers need to evolve, it is not advisable to change for the sake of change. Micheletti warned that potholes are everywhere.
“You can only move forward based on what history has told us,” she said. “With this population, proceed with caution. The Sacklers, of Purdue Pharma, have taught us that a small mistake can create a big crisis.