Home Health Care Market Home health care is a diverse and dynamic service industry that has its US roots in the latter half of the 19th century. The industry has continually grown since that time. This is due in part to the growth of the Medicare-eligible population.
As the “Baby Boom” generation continues to age and turn 65, the demand for home health care services will likely continue to increase. By 2030, it is projected that one in five people or a full 20 percent of the population (approximately 70 million) will be 65 years old or older.
Home health care services are not just utilized by Medicare-eligible individuals. In fact, one recent study found that of all home health care discharges, 4.1% were under age 17; 10.1% were ages 18 to 44; and 16.4% were ages 45 to 64. A recent study published by the National Association for Home Care & Hospice stated that approximately 12 million people currently receive home care and hospice services. This same study indicated that annual expenditures for home health care are greater than $72 billion. This market has also grown for reasons outside of population growth.
In fact, most studies indicate that people prefer to recover at home instead of a nursing home. Hospital stays are typically shorter in length than in the past. More and more people choose to recover at home instead of staying in the hospital for an extended period of time.
Additionally, home health care is often a cost-effective service for both those recovering from an illness or injury as well as for those unable to care for themselves.