Home care services
Business Model Description
Home care services consist of home assistance, companionship, help with personal hygiene, medication management and specialized care. Clients and beneficiaries include the elderly, people with disabilities, children, and patients with long-term health conditions requiring specialized care.
Expected Impact
Transform healthcare by providing personalized and accessible services, contributing to gender equality and reducing marginalization.
How is this information gathered?
Investment opportunities with potential to contribute to sustainable development are based on country-level SDG Investor Maps.
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Country & Regions
- Ozama
- Valdesia
Sector Classification
Health Care
Development need
The country faces health challenges, such as: infant mortality rate of 21.5/1000 and a life expectancy of 74.5 years. It has 1.6 beds and 1.5 doctors per 1000 people (1,2,3).
Policy priority
In 2019, public spending on health accounted for 2.7% of GDP and 16.3% of total public spending, while out-of-pocket spending on health accounted for 42.9% of total health spending (1).
Gender inequalities and marginalization issues
Gender inequalities and marginalization affect equity in access to health care. Rural and low-income women face additional barriers to accessing maternal and child health services. The maternal mortality rate is 107 per 100,000 live births, highlighting the gap in care (4).
Investment opportunities introduction
The Dominican health sector offers opportunities in hospital infrastructure, medical technologies, and primary care services. The growing demand for private health insurance creates an expanding market. Telemedicine is also gaining relevance (5).
Key bottlenecks introduction
Although access to care has improved, there is still geographic inequity and limitations in specialized human resources. Dependence on public funding limits sustained investment.
Health Care Providers
Development need
The Dominican Republic has a population of more than 10.7 million, requiring significant improvement in infrastructure and access to medical services. In 2020, per capita health spending was approximately US$466, well below the regional average (6).
Policy priority
The Dominican government has recognized the importance of healthcare and included it as a priority in its National Health Plan 2022-2030. It seeks to expand coverage, improve the quality of care, and strengthen medical infrastructure to achieve the Sustainable Development Goal (SDG) related to health and well-being (7).
Gender inequalities and marginalization issues
Marginalized communities, especially in rural and low-income areas, may have limited access to quality health services. Care providers in these regions may face additional challenges in providing effective services due to lack of infrastructure and resources (4).
Investment opportunities introduction
The sector offers opportunities in the expansion of medical facilities, development of healthcare technology, and training of professionals. Telemedicine and digital services emerge as promising areas. Investment in medical infrastructure can capitalize on unmet demand for specialized medical services (5).
Key bottlenecks introduction
Despite progress, the sector faces significant challenges. Lack of trained medical personnel and outdated infrastructure limit the quality and availability of care. High dependence on the public sector and bureaucracy hinder efficiency.
Health Care Delivery
Pipeline Opportunity
Home care services
Home care services consist of home assistance, companionship, help with personal hygiene, medication management and specialized care. Clients and beneficiaries include the elderly, people with disabilities, children, and patients with long-term health conditions requiring specialized care.
Business Case
Market Size and Environment
< USD 50 million
It is estimated that 550,000 people require care in the homes of the Supérate Program (9).
It is estimated that 85 % of children between 0 and 5 years old in 2018 did not have any institutionalized care services. In terms of dependency care for older adults, in 2018, it was estimated that public management coverage on a direct basis reached only 0.4 % of the total number of people over 60 years of age (8).
Indicative Return
< 5%
The profitability of this type of investment is associated with variables such as market demand, regulations, operating costs, and quality of services. In countries such as Malaysia, some companies generated profitability, while others showed losses.
Investment Timeframe
Long Term (10+ years)
It is an emerging business approach. The establishment of platforms capable of providing such services represents a long-term challenge, since authorized companies must adapt to the standards defined by the Ministry of Health.
Ticket Size
USD 500,000 - USD 1 million
Market Risks & Scale Obstacles
Capital - Limited Investor Interest
Market - Volatile
Capital - Requires Subsidy
Impact Case
Sustainable Development Need
The population of the Dominican Republic over 60 years of age represents 9.7%. It is estimated that by 2025 it will be 12.5% of the national population over 60 years old, and by 2050 it will be 21.4% (9).
In terms of dependency care for older adults, in 2018 it was estimated that public management coverage directly reached only 0.4% of the total number of adults over 60 years of age and 1.1% of the population over 60 years of age in the first income deciles (8).
It is estimated that 550 thousand vulnerable people require care in the homes of the Supérate Program. People with disabilities in a situation of dependency do not have public care services (8).
Gender & Marginalisation
More than 850,000 women of working age in the country report that they are not looking for a job because they are engaged in caregiving at home (10).
Gender inequalities in the labor market and the socioeconomic condition of women in the country are closely related to the inequities that persist in the distribution of care.
Women in the Dominican Republic dedicate an average of 31.2 hours to unpaid work, compared to the 9.6 hours that men dedicate to the same task, that is, 20 hours more per week than men, and in the case of care work, they dedicate 5 times more than men, approximately 15.7 hours per week, compared to 3.1 hours per week for mens (11).
Expected Development Outcome
Improving the quality of life of the people served by providing home assistance, companionship, help with personal hygiene and medication management, achieves an intended outcome of increasing their well-being and autonomy, enabling them to live more fully and with more dignity.
This business model provides for people in vulnerable situations to have access to high quality services that may have previously been limited by economic, social or geographic barriers, which not only improves their well-being, but also decreases the social and economic gap.
This model has the potential to generate an unintended outcome of economic empowerment for people who can become care providers, especially important for women who could play key roles in this sector, thus contributing to gender equity and economic development.
Gender & Marginalisation
The business model can contribute to addressing gender inequalities by creating employment opportunities for women in care-giving roles. This contributes to the economic empowerment of women, thereby contributing to the economic empowerment of many families and communities.
Care services can alleviate the disproportionate burden of unpaid care that often falls on women and girls. By providing home care and specialized support, it frees up time and energy for women to participate in other aspects of life.
This business model envisions reducing marginalization by providing care services to those who have historically been excluded. This not only addresses inequality of access to care, but helps to promote social inclusion.
Primary SDGs addressed
3.1.1 Maternal mortality ratio
Between 2000 and 2019, infant mortality in the Dominican Republic decreased from 39.1 to 21.5 per 1000 live births, a decrease of 45% (1).
Decreased maternal mortality rate from 94.8 to 74.3 per 100,000 live births (14).
3.4.2 Suicide mortality rate
As of 2019, suicides affected 4.9 people (per 100,000 inhabitants) (12).
3.c.1 Health worker density and distribution
As of 2019, there were 1.5 doctors per 1000 people (2).
5.4.1 Proportion of time spent on unpaid domestic and care work, by sex, age and location
8.5.2 Unemployment rate, by sex, age and persons with disabilities
The unemployment rate by sex in the Dominican Republic for 2021 is 12.1% for women and 3.9% for men. For ages 15 to 24, the unemployment rate corresponds to 17% (13)."
Secondary SDGs addressed
Directly impacted stakeholders
People
Gender inequality and/or marginalization
Indirectly impacted stakeholders
People
Gender inequality and/or marginalization
Corporates
Public sector
Outcome Risks
The business model could perpetuate gender inequalities if not adequately addressed by assigning traditional caregiving roles predominantly to women, limiting their opportunities in other areas.
If the demand for services exceeds the availability of trained professionals, quality and time of care issues could arise, negatively affecting the experience of beneficiaries.
Uncontrolled expansion of care services could have a negative environmental impact if sustainable practices, such as responsible resource use and medical waste management, are not implemented.
Gender inequality and/or marginalization risk: Failure to take into account the specific needs of marginalized groups could result in the exclusion of these individuals.
Impact Risks
If technology implementation is not done effectively, it could create an over-reliance on digital systems, excluding people who do not have access to or are unfamiliar with technology.
If care services are not effective enough to prevent long-term health problems, they could increase burdens on the public health system, affecting both patients and medical staff.
If care services do not meet expected quality standards, beneficiaries could experience a decrease in their quality of life and well-being, which would contradict the purpose of the model.
If service delivery is not carried out in a sustainable manner, such as inadequate generation of medical waste, it could have a negative impact on the environment and public health.
Gender inequality and/or marginalization risk:If the business model fails to achieve its goal of providing accessible services for all, it could increase existing inequities.
Impact Classification
What
Contribute to the improvement of the quality of life and well-being of vulnerable populations by providing high quality, personalized care services.
Who
Empower marginalized and disadvantaged people, such as older adults, people with disabilities and patients with long-term health conditions, through specialized care and emotional support.
Risk
Mitigate risks of increasing inequities in access to health care by providing equitable and affordable services.
Contribution
Contribute to easing the burden on the health care system and reducing long-term medical costs through prevention and early care.
How Much
To generate a significant impact on the quality of life of beneficiaries and the efficiency of the health system.
Impact Thesis
Transform healthcare by providing personalized and accessible services, contributing to gender equality and reducing marginalization.
Enabling Environment
Policy Environment
National Multi-Year Public Sector Plan 2021-2024: redesigns the planning process since the main objective of public policies should be to improve the quality of life of the people (15).
National Plan for Gender Equality and Equity (PLANEG III) 2020-2030: This document responds to the main problems and needs of women in the Dominican Republic, identified as a sign of social inequality and as part of the inescapable commitments subscribed by the state (16).
Building a National Care Policy with the actors of the territory: The Dominican State intends to promote the Communities of Care as a pilot exercise for the implementation of a National Care Policy, starting with a strategy (8).
Financial Environment
Financial incentives: Access to Financing: Multiple banks offer loans at market rates for business projects.
Regulatory Environment
National Development Strategy (END): This Law contains the formulation of the long-term vision of the Nation, the Axes, Objectives and Strategic Lines of Action, a set of indicators and goals that the country intends to achieve in the time horizon of application of the Strategy (17).
General Health Law 42-01: regulates all actions that allow the State to make effective the right to health of the population, recognized in the constitution (18).
Law No. 5-13, on Disability and its Decree No. 363-16 which establishes the Regulations for the Application of the Law. It protects and guarantees equal rights and equal opportunities to all persons with disabilities and regulates non-profit legal entities (19).
Law 352-98 of 1998 that creates the National Council of the Aging Person (CONAPE), entity responsible for designing national policies in favor of the elderly (20).
Marketplace Participants
Private Sector
Health care companies such as Servi enfermera, United Telemedicine Network, North Coast Elder Care.
Government
Ministry of Health, Ministry of Labor, Ministry of Women, Ministry of Economy, Planning and Development, CONAPE, CONADIS.
Multilaterals
International organizations such as WHO and UNDP that provide guidance and accompaniment to the government for the design and implementation of public policies.
Non-Profit
Charities and NGOs working in the care of older adults such as: Caritas Internationalis, FUNDAMA, Sociedad San Vicente de Paúl, Fundación Ventanas de Amor.
Target Locations
Ozama
Valdesia
References
- (1) PAHO, 2021. Health in the Americas. COUNTRY PROFILE Dominican Republic: Country Profile - Dominican Republic | Health in the Americas (paho.org).
- (2) World Bank, 2019. Physicians (per 1,000 people) - Dominican Republic | Data (bancomundial.org).
- (3) World Bank, 2017. Camas hospitalarias (por cada 1.000 personas) - Dominican Republic | Data (bancomundial.org)
- (4) World Bank, 2020. https://datos.bancomundial.org/indicator/SH.STA.MMRT?locations=DO
- (5) World Bank. 2023. World Bank to support the Dominican Republic’s health care system. https://www.worldbank.org/en/news/press-release/2023/12/05/apoyo-banco-mundial-para-mejor-sistema-de-salud-publica-republica-dominicana
- (6) UNICEF. 2022. Estimación preliminar del costo de fortalecer el primer nivel de atención en la red pública. https://www.unicef.org/dominicanrepublic/media/6916/file/Estimaci%C3%B3n%20preliminar%20del%20costo%20de%20fortalecer%20el%20primer%20nivel%20de%20atenci%C3%B3n%20en%20la%20red%20p%C3%BAblica%20-%20PUBLICACION.pdf
- (7) MEPYD 2020. Lineamientos estratégicos. Formulación Plan Nacional Plurianual del Sector Público 2021-2024. https://mepyd.gob.do/wp-content/uploads/2020/09/Lineamientos-estrategicos-PNPSP-2020-2024.pdf
- (8) MEPyD, 2021. Building a National Care Policy with territorial stakeholders. Total estimate of potential target population of the care economy in Supérate households: Executive summary. https://mepyd.gob.do/wp-content/uploads/drive/VAES/Informes/Resumen%20ejecutivo%20Comunidades%20de%20Cuidado_MEPyD_WEB.pdf
- (9) UNFPA, 2016. Datos sobre la vejez en República Dominicana: https://dominicanrepublic.unfpa.org/es/publicaciones/datos-sobre-la-vejez-en-rep%C3%BAblica-dominicana#:~:text=1%20La%20poblaci%C3%B3n%20de%20m%C3%A1s,Rep%C3%BAblica%20Dominicana%20es%20de%20666%2C952.&text=3%20representando%20el%209.7%25%20de,el%202050%20sea%20el%2021.4%25.
- (10) MEPyD. 2023. Viceministra Olaya Dotel afirma que la política de cuidados coloca al país a la vanguardia de América Latina y el Caribe. https://mepyd.gob.do/viceministra-olaya-dotel-afirma-que-la-politica-de-cuidados-coloca-al-pais-a-la-vanguardia-de-america-latina-y-el-caribe/
- (11) Ministerio de la Mujer. 2021. En RD las mujeres dedican 31,2 horas al trabajo no remunerado, en comparación con 9,6 que dedican los hombres a la misma tarea. https://mujer.gob.do/index.php/noticias/item/886-en-rd-las-mujeres-dedican-31-2-horas-al-trabajo-no-remunerado-en-comparacion-con-9-6-que-dedican-los-hombres-a-la-misma-tarea
- (12) World Bank, 2019. Suicide mortality rate (per 100 000 population): https://datos.bancomundial.org/indicador/SH.STA.SUIC.P5?locations=OE-DO.
- (13) ONE, 2021. Unemployment rate in the Dominican Republic.
- (14) MEPyD, 2021. Expected results 2021-2024 of the National Multi-Year Public Sector Plan: https://mepyd.gob.do/publicaciones/plan-nacional-plurianual-del-sector-publico-2021-2024/.
- (15) MEPyD, 2021. Plan Nacional Plurianual del Sector Público 2021-2024: https://mepyd.gob.do/publicaciones/plan-nacional-plurianual-del-sector-publico-2021-2024/.
- (16) Ministerio de la Mujer. 2019. Plan Nacional para la Igualdad y la Equidad de Género (PLANEG III) 2020-2030. https://mujer.gob.do/transparencia/phocadownload/Publicaciones/Planeg/PLANEG%20III%202020-2030.pdf
- (17) MEPyD, 2016. Ley 1-12 "Estrategia Nacional de Desarrollo 2030": Microsoft Word - LEY NO. 1-12 LEY ORGANICA DE LA ESTRATEGIA NACIONAL DE DESARROLLO 2030 (mepyd.gob.do).
- (18) Servicio Nacional de Salud, Ley 42-01 General de Salud: Ley 42-01 General de Salud - Servicio Nacional de Salud (sns.gob.do)
- (19) Organic Law on Equal Rights of Persons with Disabilities no. 5-13 Enacted January 15, 2013: Law-5-13.pdf (conadis.gob.do).
- (20) National Congress, 1998. Law No. 352-98 on Protection of the Aging Person: Ley 352-98RDominicana.doc (conape.gob.do).
- (21) MEPyD,2023. Government launches Local Care Plan in the municipality of Azua as part of the Communities of Care pilot strategy:https://mepyd.gob.do/gobierno-lanza-plan-local-de-cuidados-en-municipio-de-azua-como-parte-de-la-estrategia-piloto-comunidades-de-cuidado/