Long-Term Care Market Analysis By Service And Segment Forecasts To 2024
LONDON–The global Long Term Care (LTC) market is expected to reach USD 1,109 billion by 2024, according to a new report by Grand View Research, Inc. The market is expected to boom owing to the increasing awareness of people about the different home healthcare facilities, the increasing medical coverage for home healthcare, and the increasing aging population.
In October 2015, there were around 12 million people receiving home healthcare and the number is expected to increase dramatically. Moreover, according to the U.S. Census Bureau, the population aged 65 and older is expected to reach 84 million by 2050 as against 43.1 million in 2012. Moreover, there has been a shift to in-home care from long term care. The nursing homes have shrunk by 350 over the past six years, while the in-home nursing programs have doubled.
Further Key Findings from the Study Suggest:
In 2015, the home healthcare dominated the market owing to the increasing awareness regarding home healthcare facilities, the cost savings offered by them as compared to hospital stays or nursing homes, and proactive health monitoring. Home healthcare is booming in the developing countries owing to the increasing need for geriatric care, double income households, and social changes. India has many home healthcare startups such as Health Care at Home, Zoctr, Vatsalya, Care24, Zozz, Life Circle Health Services, Healers at Home, and the Nightingales.
The hospice care is the fastest growing market owing to the increasing incidence rates of Alzheimer's and dementia and an increase in the post-hospital care. Moreover, the coverage offered by both the Medicaid and private insurers has relieved the residents from the out-of-pocket payments that have to be borne by them. According to the Hospice Association of America, Medicaid pays USD 601 per day for the inpatient hospice care and USD 789 for 24-hour home care. Moreover, in August 2013, the Palliative Care and Hospice Education and Training Act provided a grant of USD 50 million for the training of doctors and allocating awards for educators in the field.
North America dominated the market in 2015. The market for long term care services is majorly driven by the increasing aging population, awareness about the advantages of home healthcare services, and the government support. Around 13% of the people in the U.S. are 65 years or above. By 2050, it is expected that one in five Americans would be at least 65 years of age.
Asia Pacific is the fastest growing market owing to the increasing rates of chronic diseases, the increasing disposable incomes, and decreasing working population. For instance, in China, the one-child policy has eventually decreased the working population as compared to the older population. In May 2016, MyCareLine raised USD 526,000 for its alliance with Hoffman World. The Spanish Company provides Hoffman methodology of rehabilitation. The method is commercial in Latin America and Europe. In India, Portea is one of the market leaders in the home healthcare industry. In September 2015, Portea raised USD 37.5 million for investing in better home healthcare facilities.
Industry players are continuously investing on expanding and revamping their existing facilities. For instance, in February 2016, Sunrise Senior Living, Inc. started a new facility joining its existing 41 Sunrise communities. The new facility will offer memory care programming, assisted living services, and support to residents in the early stage of memory loss.