Medical Devices Reimbursement Market - Forecast(2024 - 2030)
Medical Devices Reimbursement Market Overview
Medical Devices
Reimbursement market size was estimated at $410.23 million in 2020, growing at
a CAGR of 8.86% during the forecast period 2021-2026. A payment provided to a
healthcare provider by a private insurer for expenditures incurred while using
medical devices is known as medical device reimbursement. The patient's
hospital expenditures and the use of medical equipment are normally covered by
a private or government health insurer. The government or a health insurance covers the
majority of a person's healthcare reimbursement, either partially or
completely. The reimbursement scenario for medical devices has evolved into a key
framework for enabling patients' access to modern diagnostic and other medical
technologies. The reimbursement payout is decided in two ways as a
payment for individual medical instruments used or as a payment for the entire
surgical process involving the use of a surgical equipment or devices. Electronic
Medical Records (EMR), medical coding is majorly used in health reimbursement. Increasing
technological advancement in Electronic Medical Records (EMR) is one of the
major factor driving the growth of the market. Increasing awareness about
insurance policies among the people coupled with growing aging population is
set to further enhance the overall market development of the Medical Devices
Reimbursement Market for the period 2021-2026.
Medical Devices Reimbursement Market Report Coverage
The report: “Medical Devices Reimbursement
Market Forecast (2021-2026)”, by Industry ARC, covers an in-depth
analysis of the following segments of the Medical Devices Reimbursement Market.
By Payer: Public and Private
By Setting:
Hospitals,
Outpatient
Facilities and Others.
By Geography: North America
(U.S., Canada, Mexico), Europe (Germany, U.K., France, Italy, Spain, Russia,
and Rest of Europe), Asia Pacific (China, Japan India, South Korea, Australia,
and New Zealand, and Rest of Asia Pacific), South America (Brazil, Argentina,
and Rest of South America), and Rest of the World (Middle East, and Africa)
Key Takeaways
- North America dominated the Medical Devices Reimbursement Market in 2020 owing to increasing incidence of chronic diseases in this region. The Medical Devices Reimbursement Market scope for different regions will be provided in the final report.
- Growing need of reimbursement is set to aid the market growth of the Medical Devices Reimbursement Market report.
- Detailed analysis of the Strength, Weakness, and Opportunities of the prominent players operating in the market will be provided in the Medical Devices Reimbursement Market report.
- Presence of multiple regulatory bodies is poised to create the hurdles for the Medical Devices Reimbursement Market.
Medical Devices Reimbursement Market Revenue Share, By Geography, 2020(%)
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Medical Devices Reimbursement Market Segment
Analysis – By Payer
On the basis of payer, market for Medical
Devices Reimbursement is categorized in private
and public. Private segment in Medical Devices Reimbursement market
held the largest share. The current reimbursement calculations
take into account the cost of operating a tool or conducting a treatment, but
not the technological value of the equipment. As a result of the lower total
coverage premium, public healthcare systems may not be able to supply the same
sophisticated diagnostic medical device that is employed in the field thereby increasing Medical Devices Reimbursement market. However, public
is estimated to register higher CAGR of 8.98% during the forecast period
2021-2026 owing to rising adoption of public payer.
Medical Devices Reimbursement Market Segment Analysis – By Setting
On the basis of setting, market for Medical
Devices Reimbursement is categorized in Hospitals, Outpatient
Facilities and Others. Hospitals segment in Medical Devices Reimbursement market held the
largest share. The rising prevalence of chronic diseases such as heart disease and
stroke, cancer, or diabetes is driving up the demand for medical device
reimbursement in hospitals. Many innovative medical device
based on research are first used in public hospitals before being sold to
private hospitals thereby increasing Medical Devices Reimbursement market.
However, Outpatient Facilities is estimated to register higher CAGR of 9.12% during the forecast
period 2021-2026 owing to investment in
research and development.
Medical Devices Reimbursement Market Segment Analysis – By Geography
North America dominated
the Medical Devices Reimbursement market with a major share of 49.65% in 2020.
This is attributed to the increasing incidence of chronic diseases in this region.
According to, Centres for Disease Control and Prevention (CDC), chronic
diseases such as heart disease and stroke, cancer, or diabetes are the leading
cause of deaths in America and it affects six out of ten Americans. Furthermore, growing number
of healthcare centres in this region which are contributing to the growth of
the market in this region.
However, Asia Pacific is estimated to grow at a higher CAGR during the forecast period 2021-2026 owing to rising healthcare cost in this region. Increasing penetration of insurance services in rural and urban area is also increasing the growth of the market in this region.
Medical Devices Reimbursement Market Drivers
Increasing Prevalence of Chronic Diseases Including Diabetes, CVD
Increasing prevalence
of chronic diseases such as diabetes, cardiovascular diseases (CVD) and others
across the globe is increasing the growth of the Medical Devices Reimbursement Market.
According to World Health Organization (WHO), Diabetes affects around 422
million people globally, the majority of whom live in low- and middle-income
countries, and diabetes is directly responsible for 1.6 million deaths per
year. Additionally,
increase in healthcare costs is also practiced to increase the
growth of the Medical Devices Reimbursement market during the forecast period
2021-2026.
Growing Awareness About Health Insurance Plans
Increasing awareness about health insurance plans among the people in developing countries is increasing the growth of the Medical Devices Reimbursement market. For instance, Aditya Birla Health Insurance Company Ltd. Launched campaign called as ‘ABHI Karo” to create awareness about health insurance among the people. The rising expense of healthcare, along with favourable government policies, is increasing the number of people who choose payer services thereby increasing the growth of the Medical Devices Reimbursement Market during the forecast period 2021-2026.
Medical Devices Reimbursement Market Challenges
Presence of multiple Regulatory Bodies
Major factor
that is set to impede the growth of the Medical Devices Reimbursement market is
presence of multiple regulatory bodies this leads to long process for approval
of medical devices. Another factor which hamper the growth of market is Complex
application and review process for medical device reimbursement.
Market Landscape
Product
launches, mergers and acquisitions, joint ventures, and R&D activities are
key strategies adopted by players in the Medical Devices Reimbursement Market.
In 2020, the Medical Devices Reimbursement Market share is consolidated by the
top ten players present in the market.
Top10 companies
- 1. Cigna
- 2. UnitedHealth Group
- 3. Aviva
- 4. Nippon Life Insurance
- 5. Allianz
- 6. Humana
- 7. CVS Health
- 8. WellCare Health Plans
- 9. BNP Paribas
- 10. Aetna
Development:
In January 2021, Centene Corporation acquired Magellan Health, Inc. for $95 per share in cash, valuing the company at $2.2 billion. This acquisition will enhance the growth of companies.
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Medical Coatings Market - Forecast(2021 -
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