With the global aging population set to increase drastically in the coming years, the home health care market is expected to be worth $296 billion by 2016 according to a new report from Markets and Markets.
During the next five years, the home health care market is expected to grow at 7.7% annual growth rate said the report. This is driven by the desire to lower costs of care and a significant trend in shifting treatment from hospitals into the home.
“The move from treatment to proactive monitoring is also opening up new opportunities for the home healthcare market. Patients prefer home healthcare over hospitals mainly for the convenience and cost-effectiveness it offers. Third party home healthcare is witnessing huge demand due to better treatment quality ensured by trained medical professionals,” said the report.
While the global health care market is in its growth phase, it’s significantly established in developed regions of the world, which account for 80% of the marketplace. The developing regions such as Asia-Pacific and Rest of the World account for the rest 20%, but show a strong growth potential mainly due to the large untapped patient base.
The global aging population is set to increase from 550 million in 2000 to 973 million by 2030, with Japan and South Korea considered to be the world’s fastest aging countries according to the report.
In the U.S., the service market is primarily made up of Gentiva Health Services, ResMed Inc., Apria Healthcare, ad Lincare Holdings.
Written by John Yedinak