As aging-in-place continues to be the preferred lifestyle for many older adults, the home health care industry is forecasting a swell of baby boomer proportions.
By 2017, the the home health care market is expected to surge to a $130 billion industry, according to a MarketsandMarkets report.
Valued at $90.9 billion in 2012, the market for home health services is poised to grow at a compound annual rate of 7.5% each year until 2017, as it offers a cost advantage to patients by reducing their hospital spending, the report finds.
Segmented on the basis of products, services and telehealth, factors such as rising incidences of chronic diseases and increasing healthcare costs look to fuel the market’s growth in the coming years.
However, cuts in Medicare reimbursements to home health agencies and risks to the safety of home health workers are factors limiting the growth of this market, according to the study’s authors.
The United States “dominated” the home healthcare market in 2012 and is expected to maintain its position in the coming five years, notes the report.
A rising aging population, technological development for various home use, as well as increasing awareness of the importance of home care services look to contribute to the U.S. market growth.
Canada, on the other hand, it expected to experience steady growth for many of the same reasons as the U.S., including increasing awareness for home care and a rising prevalence of lifestyle diseases such as diabetes, obesity and cardiovascular diseases.
Written by Jason Oliva