PUBLISHER: SkyQuest | PRODUCT CODE: 1321898
PUBLISHER: SkyQuest | PRODUCT CODE: 1321898
US Genetic Testing Market size was valued at USD 6.07 billion in 2021 and is poised to grow from USD 7.42 billion in 2022 to USD 34.34 billion by 2030, growing at a CAGR of 22% in the forecast period (2023-2030).
Genetic testing is a technologically advanced diagnostic method that offers high accuracy and reliability compared to traditional healthcare diagnostics. Its usage is expected to increase significantly as its application expands across various areas of the healthcare industry. Currently, genetic testing is employed for detecting inherited diseases like cancer and chronic illnesses such as cardiovascular issues. A growing number of individuals, particularly in the United States with its high healthcare expenditure, are opting for these diagnostic methods. The rising awareness and demand for early detection and preventive care are anticipated to drive the expansion of the market in the coming years.
However, the COVID-19 pandemic has had conflicting effects on the composition of the US healthcare system. While certain sectors experienced significant positive impacts, others faced clear negative consequences. The nationwide lockdown measures imposed in various US states, which restricted people's movement, have contributed to the negative effects. As a result, there has been a substantial reduction in non-essential or non-critical diagnostic procedures that require visits to hospitals and clinics. This has led to the postponement or cancellation of several elective genetic testing procedures, including cancer screening panels and hereditary disease testing. The limited accessibility of hospitals and independent laboratories for sample analysis has caused significant disruptions. These factors are expected to have an adverse effect on the availability of genetic testing services.
Segments covered in this report:
The US genetic testing market has been segmented based on technique, application, and region. Based on technique, the market is segmented into PCR, DNA sequencing, microarrays, and others. Based on the application, the market is segmented into cardiology, oncology, pharmacogenomics, cognitive dysfunction, pathogenomics, and others.
The U.S. genetic testing industry is experiencing growth due to the increasing need for early detection and preventive care. Healthcare providers and governmental organizations are placing a greater emphasis on identifying health hazards at an early stage to mitigate the rising costs associated with treating diseases. Chronic illnesses like cardiovascular disease alone account for approximately USD 320 billion in direct and indirect expenses within the American healthcare system, according to the Centers for Disease Control and Prevention (CDC).
Furthermore, there is a growing awareness among healthcare professionals about the utility of genetic testing, which is expected to drive market expansion. As the fields of genetics and genomics advance, non-geneticists are increasingly ordering and managing a large volume of genetic and genomic tests. This highlights the importance of broader healthcare professionals being knowledgeable and proficient in utilizing these diagnostics effectively.
While genetic testing offers numerous benefits, including the option for early and preventive therapy, there are certain factors hindering the expansion of the market, particularly in the context of performing tests in the homecare setting. Privacy concerns surrounding genetic information, such as DNA data, play a significant role in constraining market growth. Many individuals are apprehensive about the handling and safeguarding of their genetic material and the related data generated from genetic testing. This concern is amplified by the fact that a significant portion of genetic testing customers relinquish control over their genetic material and the associated data obtained through the testing process. These factors are expected to limit the widespread adoption of genetic diagnostics and impede market growth in the U.S. during the forecast period.
A significant and consistent trend in the U.S. genetic testing industry is the increasing insurance coverage provided by major insurance companies for various types of genetic tests. Insurance providers are expanding their coverage to include the evaluation of the effectiveness of mental medications. The treatment of psychiatric conditions often involves a trial-and-error approach to find the most suitable medication for patients, given the challenges in matching symptoms to specific medications. As an example, UnitedHealthcare, the largest insurer in the United States, began extending insurance coverage on October 1, 2019, for individuals aged 27 and above, encompassing both private and public plans. This trend highlights the growing recognition of the value and potential benefits of genetic testing in improving treatment outcomes and personalized medicine, as well as the increasing accessibility of these tests through insurance coverage.