NIC 2020 Talks Future of Healthcare Disruption, Scale Will Matter

SAN DIEGO—The 2020 NIC Spring Conference hosted by the National Investment Center for Seniors Housing & Care, kicked off this week at the Marriott Marquis hotel in San Diego with record attendance. During the press briefing on Wednesday, NIC CEO Brian Jurutka revealed the addition of a fourth Actual Rates software partner, Medtelligent, and discussed the importance and impact of the conference theme: Investing in Seniors Housing and Healthcare Collaboration.

According to panelists on day one of the NIC event, the growth of the cost of healthcare is unsustainable. In a session titled “Five Healthcare Trends You Need to Know,” for example, a panel of experts weighed in on how five healthcare trends are impacting the senior living industry. The panel noted that owners and operators will confront a future of disruption where scale will matter along with a change in the way healthcare is accessed and delivered.

During a panel titled “Equity and Debt: Financing Private Pay Seniors Housing and Skilled Nursing”, a mix of capital providers and capital seekers heard directly from the principals involved in two different seniors housing deals. In that panel, the audience learned how the deals were initiated, structured, and finalized, including one that was initially scratched out on a notepad during a seniors housing conference. Panelists on both ends stressed the importance of trust, and experience in the industry, when choosing to partner.

In Thursday morning’s opening general session, titled: “Disruption: Convergence of Healthcare and Seniors Housing,” moderator Robert Kramer, NIC founder and strategic advisor, focused on a macro view of senior housing. “There is a disruption that is going on payment and delivery. This disruption is causing traditional players in the healthcare system to rethink their models as they look to provide better outcomes for lower cost.”

He explained that healthcare players traditionally involved in creating networks to provide acute care are expanding to emphasize wellness, care coordination, and management of chronic conditions to prevent acute care episodes. “The reality is that things are changing. We have an enormous opportunity and we are part of the discussion.”

He explained that he is a glass is a half full sort of person. “The trends we are talking about creates new opportunities for seniors housing and care providers who are willing to adapt.”

He added that we will either seize this opportunity and take advantage of this or others will drive us out of business. “As new entrants and unusual partnerships continue to emerge, old silos separating healthcare and seniors housing are breaking down.”

How do we take advantage? “There isn’t any one way to do it,” said Kramer. “If you don’t engage in the opportunity in some way, you will no longer find yourself involved.”

As for what the key driver is of the disruption. The overall driver is the rising costs of healthcare, said Kramer. “We no longer have the luxury of time. We are never going back to business as usual because of the urgency and costs of unsustainable growth. We need to force solutions for cost. That is why we talk about healthcare disruption.” Stay tuned for more from the NIC event.