American Well Expands its Telemental Health Platform With New Acquisition

November 07, 2019 - Two of the nation’s largest telehealth providers are expanding their telemental health platforms, reflecting a national effort to improve access to mental health care at a time when more people need help and providers are scarce.

American Well announced this week that it will acquire Aligned Telehealth, a California-based provider of “behavioral telehealth” and telepsychiatry services to hospitals and health plans. The deal expands a connected health service that Boston-based American Well has been offering since 2016, giving the company access to more West Coast health systems and building out a suite of dedicated services.

“Aligned Telehealth is the leading player in on-demand telepsychiatry services, supporting major medical centers and Medicaid plans in their efforts to meet the needs of patients,” Ido Schoenberg, MD, American Well’s Chairman and CEO, said in a press release. “By adding the Aligned clinical network and expertise, American Well can further expand and enhance our virtual behavioral health programs, an exciting and important endeavor that will positively impact patients, their families, and the treatment teams providing their care, while advancing clinical outcomes and reducing overall costs.”

“We’ve long believed that by applying powerful technology and the right clinical expertise we can improve access to mental health services for those who need it,” added Nitin Nanda, MD, Aligned Telehealth’s founder and CEO. “Within the hospital space and in service of the Medicaid population, we’ve proven this belief to be true. We’re excited to join forces with American Well to help patients further overcome the barriers of access, cost, time, and stigma when it comes to getting the care they need and reducing the burden on providers.”

The acquisition comes at a time when healthcare providers are looking for new ways to improve access to mental health services, in light of reports from organizations like the Kaiser Family Foundation that find only one of every four Americans in need of mental health care are getting those services.

READ MORE: Avera eCare to Launch National Telehealth Certificate Program

From a connected health standpoint, solutions range from telemental health services integrated with other telehealth platforms (like chronic care and ED services) to stand-alone platforms that offer on-demand access to specialists.

Just last month Teladoc Health, one of American Well’s primary competitors, announced the launch of Teladoc Medical Experts, a “virtual center of excellence” offering consumers access to specialists for complex care needs and mental health services.

"Given that nearly one in three adults with medical conditions also have a mental health condition, it is important to approach care holistically," Lew Levy, MD, chief medical officer of New York-based Teladoc Health, said in a press release. "With Teladoc Medical Experts, right from the start we connect our members with a doctor who helps them navigate both the virtual and in-person options, leading them to trusted answers, quickly."

In Michigan, Spectrum Health announced a partnership with Pine Rest Christian Mental Health Services to integrate teletherapy into its Spectrum Health Now platform, a direct-to-consumer telehealth service launched by the 12-hospital health system in 2014. Officials said the partnership was borne out of a Michigan Health Endowment Fund study that indicated almost half of the state’s residents in need of mental health services aren’t getting those services.

“We expect this arrangement will not only make behavioral health care more readily and immediately available but also will decrease the stigma around mental health services as people access care in the privacy of their own homes,” Tina Freese Decker, the health system’s president and CEO, said in a press release.

READ MORE: Colorado Health System Boosts Telehealth in Mental Health Outreach

And in Texas, Amerigroup Texas announced that qualified Medicaid recipients could use telehealth to access mental health services free of charge.

“This benefit empowers those who cannot access transportation or may have mobility challenges, as well as those who are experiencing non-emergency or non-life threatening issues late in the evening, over the weekend, or during a holiday when the only other option is seeking care in an emergency room,” Dr. Cealee Thomas, the health plan’s Medical Director, said in a press release. “It is a solution when people have to shelter in place or when they have been displaced in times of crisis. Also, this benefit comes without having to worry about out-of-pocket costs or unexpected medical bills.”

Congress is also looking to help, with bills like the Beneficiary Education Tools Telehealth Extender Reauthorization (BETTER) Act of 2019 (HR 3417) and the Mental Health Telemedicine Expansion Act (HR 1301), both designed to reduce barriers and improve access to and coverage of mental health care.