The global Medical Devices Reimbursement Market size is expected to reach USD 892.4 billion by 2028, according to a new report by Grand View Research, Inc. The market is expected to expand at a CAGR of 10.8% from 2021 to 2028. Aviva, Nippon Life Insurance, CVS Health, WellCare Health Plans, BNP Paribas, Aetna are some of the key players in this industry. The rising number of regulatory reforms and increasing efforts of healthcare providers to reduce cost and improve the quality of medical devices are anticipated to propel market growth.
Medical device reimbursement is defined as the payment a third-party private or public insurer pays a healthcare provider for the cost incurred while using medical equipment. The major factors fueling the growth of the market are growing dependence on reimbursement, increasing prevalence of chronic diseases, and growing preventive care. Focus on early diagnostics and preventive care may in turn lead to higher activity within the diagnostic device industry, thus promoting more reimbursement share from them. For instance, a fundamental paradigm shift towards incentivizing early diagnosis through reimbursement is noticed across developed economies, such as by screening for breast cancer.
With an increasing demand for medical equipment, reimbursement services are expected to provide various opportunities for healthcare industries to poach upon. Additionally, the increasing number of people pursuing insurance, and consolidation of the healthcare system are major factors fueling the market.
North America dominated the market and accounted for the largest revenue share of about 50.0% in 2020, and is expected to maintain its dominance over the forecast period. Increasing adoption of healthcare device reimbursement and the rising awareness with regard to cost implications are expected to drive the market in the region. In addition, the rising demand for healthcare equipment and the increasing number of healthcare centers is expected to drive the market in this region. The growing prevalence of chronic diseases is driving the demand for various healthcare instruments. Even though the advent of COVID-19 has severely affected the medical device industry, demand for homecare medical equipment has increased. This, in turn, is positively impacting the reimbursement coverage of remote monitoring devices, wearable devices, home infusion equipment, and durable healthcare instruments.
Related Press Release @ Medical Devices Reimbursement Market Report
Medical Devices Reimbursement Market Report Highlights
- The private payer segment dominated the market with a share of 65.1% in 2020 due to the presence of a large number of private players
- The hospital segment dominated the market with a share of 53.4% in 2020 due to recent technological developments and high patient footfall requiring the use of healthcare instruments
- North America is expected to dominate the market over the forecast period owing to a strong reimbursement framework
- In the Asia Pacific, the market is projected to witness rapid growth during the forecast period owing to the rising penetration of insurance services in rural and urban areas
