As Addiction Treatment Becomes Attractive to Investors, Questions About Care Arise

    Addiction treatment centers have become increasingly attractive to private equity firms looking for big returns, according to CBS News.

    Addiction researchers and private equity watchdogs say some centers are charging high patient fees without guaranteeing access to evidence-based care. Investors are attracted to addiction treatment centers because forecasts predict the market will increase by $10 billion – doubling in size – by the end of the decade, as substance overdoses increase.

    Treatment options at centers vary widely. They are not always consistent with treatment recommended by the Substance Abuse and Mental Health Services Administration. Many centers discourage or prohibit use of medications approved by the Food and Drug Administration for the treatment of substance use disorder. These centers do not align with guidelines from the American Society of Addiction Medicine on managing opioid use disorder over the long term.

    Few states require that licensed addiction treatment centers offer medication for opioid use disorder and follow other best practices, the article notes.


    February 2023