Clarify Research: The Kids Are Not Alright

The youth mental health crisis is past the tipping point. The number of mental health hospitalizations among children and young adults doubled between 2016 and 2022, with inpatient stays for anxiety-related issues and eating disorders tripling over the same period.

That’s according to an analysis of claims data for over 24M Americans under the age of 21 in the new The Kids Are Not Alright report from Clarify Health Institute, whose high quality research is matched only by its stellar report titles.

To frame up just how dire the youth mental health crisis has gotten (2016-2022):

  • Clarify found a 124% overall increase in mental health inpatient (IP) hospital admissions
  • A 250% increase in IP admissions for anxiety and fear-related disorders
  • A 221% increase in IP admissions for feeding and eating disorders
  • A 96% increase in IP admissions for depressive disorders
  • A 45% increase in mental health ED visits, including a 74% increase for suicidal ideation, attempts, and other self-harm

Looking at the annual incidence rates between conditions (vs. the utilization stats above), Clarify found a steep climb in new diagnoses for 8 of the 9 leading disorders:

  • Feeding and eating disorders had the highest rate of growth (44%), followed by anxiety and fear disorders (40%), and obsessive-compulsive disorders (38%).
  • Only diagnoses for disruptive and conduct disorders decreased (16%) between 2016-2022, although some volatility in diagnosing was seen at the start of the pandemic (Ex. anxiety conditions saw a 14% decrease in 2020, followed by a 36% YoY increase).

Another interesting slice of the data highlighted the differences in mental health IP utilization by age and sex, showing a particularly tough increase for girls between the ages of 12 and 18.

  • IP admissions for adolescent girls were twice as high as boys in the same age group across the entire time period (27 vs 11 per 1k), with Clarify pointing to ubiquitous social media as a primary contributor.

The Takeaway

If the goal of Clarify’s report was to provide a clearer picture of youth mental health care utilization, it succeeded by highlighting just how bleak the current landscape looks. It’s well known that the pandemic didn’t do younger generations’ mental health any favors, but these statistics are a stark reminder that there’s an urgent need to heed the calls-to-action from groups like these pediatric mental health societies and the Surgeon General.

Clarify Gains Momentum With $150M Raise

Value-based care is a common line item on the strategy whiteboards of many digital health startups, but few are executing on a real-world gameplan at the level of Clarify Health.

Less than a month after acquiring Embedded Healthcare to drive provider behavior change, Clarify is once again the top story of the week following the completion of a massive $150M Series D funding round led by Softbank Vision Fund 2.

To recap Clarify’s solutions, it builds cloud-based applications on top of its Clarify Atlas Platform, which maps over 300M patient journeys to illuminate areas that can be optimized to improve value-based performance.

  • The platform links clinical performance to financial impact to boost payer-provider collaboration, while helping target behavioral nudges at the moments when they’ll be most effective.
  • Clarify’s scale allows it to apply what it calls a “Moneyball-style” analytical method to healthcare, objectively assessing provider performance to identify the most efficient incentives and interventions.

Clarify’s latest investment is earmarked to accelerate the adoption of its intelligence offerings and payments technology beyond the 75 healthcare organizations it currently serves.

  • Although scaling up the client roster is obviously a top priority for most companies, it’s doubly important in the value-based care space, improving the AI-driven models that allow quality care to be compensated fairly and building the provider trust that serves as the foundation of risk-based arrangements.

The Takeaway

Clarify Health President Todd Gottula stated that the company was founded to help healthcare organizations benefit from “the big data efficiencies of the banking and consumer industries.” Clarify’s been quickly bolstering its services to make this vision a reality, and if the past year has shown us anything about the company, it’s that it won’t shy away from using its newly replenished coffers to acquire companies aligned with that goal.

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