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How Home Health Value-Based Purchasing Is Changing Referral & Partnership Strategies

The expansion of Home Health Value-Based Purchasing (HHVBP) has reshaped more than just Medicare reimbursements—it’s also influencing how referral sources and healthcare partners choose the agencies they work with.


Hospitals, ACOs, skilled nursing facilities, and even physician practices are under increasing pressure to coordinate care, reduce hospitalizations, and improve patient outcomes. They now rely on transparent performance data when deciding which home health providers to trust with their patients.


For agencies, this means one thing:If you're not performing well under HHVBP, you risk being left off the referral list.

home health value based purchasing

Why Referral Sources Now Care About HHVBP Scores

With the CMS public reporting rollout, referral partners will soon have real-time access to your agency’s performance data, including:

📊 Clinical outcomes (OASIS and claims-based measures)

📉 Hospitalization and ED visit rates

📢 HHCAHPS satisfaction scores

💰 Your annual payment adjustment percentage (APP)


And because these partners are often accountable for their own value-based metrics (e.g., under bundled payments or ACO programs), they have a direct incentive to refer to agencies that help them hit quality and cost targets.



What Referral Partners Are Looking For

Hospitals and ACOs want to collaborate with home health agencies that can:

Reduce avoidable hospital readmissions

Communicate effectively across care teams

Demonstrate high patient satisfaction

Operate with strong documentation and compliance systems

Deliver outcomes that align with value-based care goals


And now, with HHVBP performance data publicly available, they can make those decisions based on more than word of mouth—they can see the numbers.



How to Strengthen Your Referral Position in a Value-Based Market


✅ 1. Know (and Share) Your Performance Data

If your HHVBP results are strong, don’t be shy—use them in your outreach. Include key stats like:

✔ Your Total Performance Score (TPS)

✔ 30-day hospitalization rates

✔ HHCAHPS communication scores

✔ Improvement in dyspnea, medication management, etc.


💡 Tip: Create a branded “performance snapshot” one-pager to give to discharge planners and referring physicians.



✅ 2. Use Consulting Support to Fix Gaps Before They Go Public

If your HHVBP performance has room for improvement, address it before public reporting launches.


Consultants can help you:

🛠 Review and interpret your Annual Performance Report (APR)

📊 Prioritize key metrics to improve your referral competitiveness

🔁 Build staff training and workflows that support better scores



✅ 3. Position Your Agency as a Value-Based Care Ally

Referral sources are looking for partners, not just providers. Show them that you:

🤝 Understand their pain points (e.g., readmissions, SNF diversion, Medicare costs)

📈 Can contribute to their own quality benchmarks

🧠 Are actively using your HHVBP data to drive care planning

This builds trust—and opens doors to exclusive referral relationships.



✅ 4. Build Relationships with a Performance-Driven Story

Your story is no longer just about compassionate care (though that matters)—it’s about compassion + outcomes + data.


Craft your messaging to highlight:

✔ Real patient stories + measurable impact

✔ Improvement in HHVBP performance year over year

✔ Your commitment to ongoing quality improvement


When partners see that you're not only compliant but also strategic, they’ll see you as a long-term collaborator.



Conclusion

In the new landscape of Home Health Value-Based Purchasing, your performance isn’t just tied to revenue—it’s tied to your reputation, your partnerships, and your referral pipeline.


Agencies that embrace performance transparency, act on their data, and proactively engage referral partners with a value-based mindset will have the upper hand—not just in surviving HHVBP, but thriving in it.



💡 Want to position your agency as a top-tier referral partner? Our Home Health Consulting team can help you improve your HHVBP performance, prepare for public reporting, and craft a referral strategy built on quality and trust.

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