Market Research Report
United States Healthcare BPO Market - Growth, Trends, and Forecast (2019 - 2024)
|Published by||Mordor Intelligence LLP||Product code||851207|
|Published||Content info||91 Pages
Delivery time: 2-3 business days
|United States Healthcare BPO Market - Growth, Trends, and Forecast (2019 - 2024)|
|Published: May 1, 2019||Content info: 91 Pages||
The United States Healthcare BPO Market was valued at USD 109.84 billion in 2018, and it is expected to reach USD 174.59 million by 2024, with an anticipated CAGR of 8.11% during the forecast period, 2019-2024.
According to the US federal government reports, around USD 3.65 trillion was spent on healthcare in 2018, which means that the spending was around USD 11,212 per person, with 59% of the spending was on hospitals, clinical services, and doctors. The National healthcare expenditure (NHE) grew by 4.4% when compared to 2017. As per National Health Expenditure Projections 2018-2027, the projected growth of the national health spending is around the average rate of 5.5% per year for 2018-27, which is anticipated to reach nearly USD 6.0 trillion by 2027. The health share of GDP is expected to increase from 17.9% in 2017 to 19.4% by 2027. The healthcare spending by the payer is expected to rise with faster growth rates, for example, Medicare spending growth was projected to have an accelerated growth to 5.9% in 2018, from 4.2%, and Medicaid spending was witnessing growth more slowly in 2018, at 2.2% from 2.9% in 2017. A similar trend has been observed in National Health Expenditures by Sector, prescription drug spending is projected to have grown 3.3%, hospital spending is projected to have grown 4.4%, and physician and clinical services spending is projected to have grown more rapidly at 4.9%, in 2018. With increasing healthcare costs, people seem to be skipping physician visits, skipping medical care or delaying care ultimately impacts the quality of care and lead to an increased cost of care. The main function of healthcare is diagnosing and treating patients, which are achieved by healthcare organizations by focusing on is increasing staff efficiency and delivering proper patient care. There is a need to balance the number of non-care responsibilities a staff member can handle in a healthcare organization, in order to improve quality patient care and in turn, the overall cost of the revisits and re-treatment can be controlled. This can be achieved by proper implementation of the outsourcing for non-core activities, the Healthcare BPO can lower the costs through outsourcing the professionals on behalf of the healthcare company. The money can be saved on both acquiring additional staff and training them. Similarly, outsourcing can provide access to specialists, which enhances the availability of skilled healthcare professionals. Their expertise and experience can complete a complex task in a short period of time and save a lot of labor costs. With increasing regulatory compliance and rise in healthcare costs, healthcare BPO will witness exponential growth, due to more healthcare facilities and hospitals outsourcing non-core activities for better operational benefits, such as improved patient care, predictable cash flow, and increased net revenue.
The healthcare BPO (business process outsourcing) refers to a process, in which the healthcare providers select the most suited third-party vendor for specific business processes. It allows the hospitals and medical professionals to spend their energy and valuable time on patient care.
Claims Management is Expected to Grow with High CAGR in the Forecasted Period
The United States healthcare system is a trillion-dollar industry, which includes pharmacies, pharmaceutical companies, medical equipment manufacturers, and medical care facilities. This complex infrastructure in this industry relies on a specialized professional who is overseeing these operations. One such process is a medical claim. The claim process is summarized as a dual interaction between two of the largest and the important parts of the healthcare system, namely healthcare providers and medical insurance companies. The relationship between policyholders, healthcare providers, and insurance companies is essential for understanding the details of medical billing and coding process. Medical claims management is the organization, billing, filling and updating, and processing of the medical claims, related to the patient diagnosis, treatments, and medications. Many hospitals and medical facilities outsource these tasks to medical claims management firms as maintaining patient records, interacting with health insurance agencies, and issuing invoices for medical services is a time consuming process. Medical claims management services process electronic and hard-copy data to determine what the patients owe and what costs insurance companies cover. These services process billing and send invoices to patients and insurance agencies to ensure patients have paid their respective portions of the expenses. In some cases, Medicare, Medicaid, and state sponsored agencies also pay some of the medical expenses. Claims management market will augment in the forecast period, as they are essential part of the healthcare industry in the United States.
The United States Healthcare BPO market is competitive and consists of a major players and minor players. In terms of market share, these major players currently dominate the market. Some of the major players of the market are Accenture plc, Genpact Limited, IBM Corporation, Parexel International, and Cognizant are among others.