Expenditures break down from managed care, out of pocket, investments and others. In 2022, the dominant share was held by managed care segment.
The U.S. health expenditure is forecasted to reach $6.07 trillion in 2027, experiencing growth at a CAGR of 5.61% in the next four years.
This data was found in the "U.S. Managed Care Market (Medicare, Medicaid, and Private Health Insurance): Insights & Forecast with Potential Impact of COVID-19" report.
Expenditures break down from managed care, out of pocket, investments and others. In 2022, the dominant share was held by managed care segment. This was being followed by out of pocket, investments and others.
The U.S. managed care market is forecasted to reach $4.12 trillion in 2027, experiencing growth at a CAGR of 6.11% up until 2027. Growth in the managed care market is supported by factors like rise in global healthcare expenditure, escalating urban population, rising geriatric population, increasing prevalence of cancer cases, favorable government initiatives, and growing adoption of healthcare insurance. However, the market growth is expected to be restrained by lack of knowledge and privacy.
The managed care market by payer can be broken down into Private Health Insurance, Medicare and Medicaid. In 2022, the dominant share of the US managed care market was held by Private Health Insurance, followed by Medicare and Medicaid. The faster growth in the net cost of health insurance is a primary reason for the acceleration in spending growth for private health insurance, Medicaid, and Medicare.
During Covid-19, there is a greater need for sophisticated healthcare, which raises healthcare expenditures. However, most people find it difficult to spend that much money on their healthcare needs, hence the managed care industry expanding during the time of COVID peak.
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