Market Trends of Global Healthcare Payer Services Industry
This section covers the major market trends shaping the Healthcare Payer Services Market according to our research experts:
Claims Management Services Segment Is Expected To Hold A Major Share In The Market.
The claim management services segment is expected to hold a major share in the healthcare payer services market and will do the same over the forecast period.
Traditionally, a healthcare practitioner provides services to a patient, which the payer then confirms and reimburses. The absence of patient involvement raises the possibility of fraud and abuse.
Additionally, in October 2021, Blue Shield of California and Google Cloud collaborated to create a new approach to paying providers that will process claims in real-time for members. To digitize healthcare claims and enhance the quality and timeliness of billing information, the firms would deploy automated processing, artificial intelligence, and machine learning technologies on a cloud platform. Such collaborations will drive market growth due to the rise in the adoption of claim management services.
In addition, according to the study published in the Journal of Medical Internet Research, titled 'Combating Health Care Fraud and Abuse: Conceptualization and Prototyping Study of a Blockchain Antifraud Framework' in September 2020, It is estimated USD 2.6 billion loss is attributed to health care fraud and abuse. Such incidences will lead to increased adoption of claim management services, driving the market growth over the forecast period.
Therefore, this segment is expected to drive market growth owing to the abovementioned factors.
North America Holds a Major Share and Expected to do Same Over the Forecast Period
North America holds a significant share in the market studied and is expected to do the same over the forecast period. The factors attributed to the significant growth of the healthcare payer services market include the rise in adoption of healthcare policies, the sophisticated healthcare system in this region, and the strong foothold of key market players in this region, among others.
According to the article published by the Congressional Research Service, titled 'The United States Health Care Coverage and Spending,' updated in April 2022, most people had private health insurance or were covered by a government program (such as Medicare or Medicaid) in 2020. Furthermore, according to the same source, in 2020, individuals (including the uninsured), health insurers, and federal and state governments spent USD 3.9 trillion on various types of health consumption expenditures (HCE), accounting for 18.8% of the country's gross domestic product. Such a huge investment in healthcare consumption in this region will lead to driving the growth of this market in this region due to the adoption of healthcare payer services to claim insurance.
Furthermore, in December 2021, according to the United States Centers for Medicare and Medicaid Services, the COVID-19 epidemic, like so many other parts of American society, had a significant impact on the country's health sector in 2020, pushing a 9.7% increase in total national healthcare spending to USD 4.1 trillion. The high investments by national healthcare will lead to higher adoption of healthcare payer services, driving the market growth.
In addition, the strong foothold of major players in this region is also expected to drive the market growth due to the adoption of various services by the end user, driving the market growth. For instance, key players such as Cognizant Technology Solutions, Hewlett-Packard, and Xerox Corporation are headquartered in the United States.
Therefore, the market is expected to propel in this region due to the abovementioned factors.
