Healthcare's first AI-native home health provider

Two in every five patients referred to home health in this country don't get the care they need.

Not because the clinicians aren’t there, nor because the patient doesn’t qualify. They get rejected because the administrative cost of treating them – intake, scheduling, prior authorization, documentation, billing – is higher than what the agency will be paid to do the work. So the agency turns them away. The patient ends up in a nursing facility, or quietly gets sicker at home until they need to be readmitted to the emergency room.

Meanwhile, the country's home health clinicians spend roughly a third of their day on paperwork and another third behind the wheel. They are spending less than a third of the time doing the work they love.

Over $100B is spent per year on home health. Forty to fifty percent of that goes to the overhead of coordination and roughly $40B in referrals get rejected outright every year because the administrative math doesn't work. This is the problem Adaptive Innovations (opens in new tab) is rebuilding from the ground up, and we are proud to lead their Series A.

Healthcare is a problem of delivery

Most attempts to fix healthcare with technology have tried to build a better tool for the people already inside the system. A better EHR. A better patient portal. A better payment system. The bet was always that if you handed providers a sharper instrument, they would do more with it.

Adaptive's founders looked at home health and saw something different. They saw that the problem was that the delivery system itself was designed forty years ago around the assumption that every back-office workflow had to be touched by a human being. With AI, that assumption is no longer true.

Alex Wendland (opens in new tab) and Ryan Tolsma (opens in new tab) first looked at home health from an AI lens. They went out to existing agencies with a product to streamline the back office, and they kept hitting the same wall: the agencies were too calcified to absorb the change. The workflows couldn't be redesigned from the outside. The economics of who got treated and who didn't stayed the same because the operating model underneath didn't move.

They discovered that the leverage was in becoming the provider, not selling intelligence to providers. They built a home health company from the inside out, with AI handling every step of the administrative chain that traditional agencies still spend 60 to 90 cents of every clinical-labor dollar on.

That kind of company demands a team that can run a real clinical operation on day one. Adaptive's founding team has it. Logan Stinson (opens in new tab) has spent years building and scaling home health operations across Texas. Hunter Stinson (opens in new tab) is a former nurse and U.S. Army Ranger officer who worked the same broken workflows from the bedside. Alongside Alex and Ryan, they are why this company can move.

And beyond the founders, Adaptive has assembled a talent-dense team of world-class operators, engineers, and researchers from places like Citadel, Jane Street, Scale AI, and Palantir, all working together to make AI-native healthcare operations actually run at scale.

An AI healthcare provider is what we need

Since its quiet launch in 2025, Adaptive has delivered more than 100,000 home health visits. The company runs 24/7 clinical coverage across five regions in Texas, where it has already built referral relationships with every major hospital system in the state. This Series A funds the next step: scaling that operating model nationwide.

The health outcomes that Adaptive drives are significantly better than the industry’s.

Patients served by Adaptive have a 4.9% rehospitalization rate compared to the 12.9% Texas state average and 10.2% national average. More than 95% of patients see improvement in ambulation, meaning they are back on their feet, no longer homebound, compared to an 89.5% national average. Patients are set up with a home care provider extremely quickly, with 99% of patients admitted within 48 hours of referral. They have a 4.5-star CMS quality rating against an industry average of around 3.

The clinicians, meanwhile, are spending roughly 80% less time on documentation. They get to do the job they trained for.

What matters most to us is what this operating model makes possible: Adaptive can serve the patients traditional agencies turn away. Traditional Medicare pays roughly two to three times what Medicare Advantage and commercial plans pay for the same home health visit. That's why most agencies in this country fight to keep their patient mix at 80% traditional Medicare — it's the only book of business where the admin overhead is tolerable. Adaptive has done the opposite. Only a quarter of its patients are on traditional Medicare because once administrative cost collapses toward zero, the patients other agencies turn away become economically viable.

The outcome is a true win-win-win: Adaptive delivers more healthcare at a higher quality and lower cost, enabling patients to get better in the comfort of their own home, all while reducing the administrative burden for nurses.

Why we believe in Adaptive Innovations

Plenty of the largest companies in this cycle of AI will be the ones selling intelligence as a tool. The most interesting ones, and arguably the most defensible, will use intelligence to make a real-world service economically viable in places where it never was before. Amazon didn't build inventory software for booksellers. Uber didn't build dispatch software for taxi fleets. They rebuilt the marketplace around what the new technology enabled them to do.

Adaptive is the same shape of bet in a category that can change the course of people's lives.

By 2034, this country will have more people over 65 than under 18 for the first time in its history, placing more strain on the healthcare system than ever. Home health helps to alleviate that strain: every dollar spent on home health saves two dollars from the rest of the healthcare system by keeping patients out of costly hospitals and nursing facilities. That's why home health is one of the fastest-growing parts of American healthcare: a $100 billion market today, on a path to roughly $500 billion by 2034, across the categories Adaptive is built to expand into, including home infusion, hospice, and hospital-at-home.

The right team to service that opportunity is one that has clinical credibility and AI-native operations under one roof. That almost never happens because the people who can build the AI usually can't run a home health agency, and the people who can run a home health agency usually can't build the AI. Adaptive is the rare company that has best-in-class founders from both worlds.

We are proud partners, and we are excited for the rebuilding of the healthcare system that America deserves.