Study Shows 35% Cost Savings for Medicare Plans While Maintaining High-Quality Outcomes for Patients Living With Serious Illness

September 18, 2025 at 08:55 AM EDT

NEW YORK CITY, Sept. 18, 2025 (GLOBE NEWSWIRE) -- Empassion Health, Inc., the nation’s largest managed care provider of high-quality care for adults living with serious illness so that they can have more good days, today announced results from its Savings Study covering tens of thousands of patients from January 2023 through April 2025. The study demonstrated a 35% reduction in total cost of care per-patient in the final year of life, while sustaining industry-leading quality outcomes and patient satisfaction.

The announcement was made today at the 2025 Digital Health NY Summit, where Empassion Health Co-Founder and CEO Robin Heffernan also spoke on a panel discussing “Redefining End-of-Life-Care through Care at Home.”

The High-Cost Care Problem

Seriously ill patients remain under-supported and over-medicalized. Today, only five percent of palliative-eligible patients receive home-based palliative care, leaving the vast majority of patients and caregivers burdened by unnecessary hospital admissions, fragmented care, and overwhelming costs. This vulnerable group — just a fraction of the Medicare population — drives 25% of total Medicare spending. Families are left under-educated, isolated, and feeling out of control at precisely the moment they need the most support.

The Empassion Solution and Study Results

Empassion’s unique model provides in-home palliative care through local community providers, comprehensive care coordination that addresses medical, emotional, and social needs, and seamless hospice transitions. The Savings Study analyzed claims data from 45,947 adults with serious illness enrolled in Original Medicare, Medicare Advantage, and Dual health plans across 35 states.

Key findings include:

35% overall savings per patient in the last year of life, compared to baseline patients not receiving Empassion services.
$33,000 average savings (41%) for patients receiving both palliative care and hospice services.
$7,000 average savings (8%) for patients receiving in-home palliative care only.
35% reduction in hospital spend driven by improved in-home support and care coordination.
70% hospice utilization, with a median hospice length of stay of 33 days and a median palliative length of stay of 124 days. The national average is 50% hospice utilization and 18-day median hospice length of stay.
90% patient satisfaction at the 5-star level.

“The bottom-line results of this Empassion study covering tens of thousands of patients prove that care, compassion, and cost savings do not have to be mutually exclusive,” said Heffernan. “Empassion’s unique model can achieve this at scale, while also helping our health plan partners address their most complex populations sustainably — so patients can have more good days.”

About Empassion

Empassion is on a mission to effectively and conveniently provide high-quality care for adults living with serious illness so that they can have more good days. Empassion operates in 45 states and partners with tens of thousands of community-based supportive care providers. Empassion serves multiple lines of business including Original Medicare, Medicare Advantage, Duals and Commercial populations. For more information about Empassion’s value-based programs, please visit https://empassion.com.

Attachments

Chase Knight
EmpassionHealth
917-865-4618
Chase.Knight@Empassion.com

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Study Shows 35% Cost Savings for Medicare Plans While Maintaining High-Quality Outcomes for Patients Living With Serious Illness

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