Market Size of Global Healthcare Payer Services Industry
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 75.53 Billion |
| Market Size (2029) | USD 118.51 Billion |
| CAGR (2024 - 2029) | 9.43 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Healthcare Payer Services Market Analysis
The Global Healthcare Payer Services Market size is estimated at USD 75.53 billion in 2024, and is expected to reach USD 118.51 billion by 2029, growing at a CAGR of 9.43% during the forecast period (2024-2029).
Covid-19 has significantly impacted the healthcare payer services market. For instance, according to the article published in the National Academy of Medicine, titled 'Health Care Payers COVID-19 Impact Assessment: Lessons Learned and Compelling Needs' in May 2021, payers took steps to expand access to health care for COVID-19 and non-COVID-19 health issues in the spring of 2020, based on regulatory requirements and recommendations (e.g., waiving administrative requirements, reimbursing telehealth). Many payers also deployed financial support and capital on their own to help providers stabilize, and they used their technological capabilities and community links to help with outbreak response, from coordinating non-medical services to supporting immunization efforts.
The major factors driving the market growth include the rise in the adoption of health insurance, the rise in healthcare frauds, the growing burden of chronic diseases, and others.
According to the Organisation for Economic Co-operation and Development statistics updated in May 2022, many European Countries, such as the Czech Republic, Denmark, Finland, and Ireland, among others have 100% Government/Social health insurance in 2020. Such adoption of health insurance from the government for its citizens will drive the market due to the adoption of healthcare payer services.
Furthermore, in August 2021, Baring Private Equity Asia (BPEA), one of Asia's major private alternative investment firms, signed formal agreements with Hinduja Global Solutions to buy its Healthcare Services business to funds linked with Such acquisitions will further lead to drive the growth of healthcare payer services market due to growth.
In addition, the rise in chronic diseases will further pave the way for health insurance, leading to the adoption of healthcare payer services and driving the market growth. For instance, according to the International Diabetic Federation 2021, diabetes affects around 537 million persons aged 20 to 79. By 2030, the overall number of diabetics is expected to reach 643 million, and by 2045, it will reach 783 million. Furthermore, according to Globocan 2020, there were 19,292,789 new cancer cases seen in 2020 across the globe, and 9,958,133 deaths were reported globally in 2020. Such a huge burden of chronic diseases will lead to increased adoption of ethical medication, driving the market growth significantly.
However, factors such as high incidences of data breaches, loss of confidentiality, and unpredicted costs associated with outsourcing are expected to hinder the market.
