The U.S. hospital emergency department market size was exhibited at USD 156.16 billion in 2022 and is projected to hit around USD 274.43 billion by 2032, growing at a CAGR of 5.8% during the forecast period 2023 to 2032.
Key Takeaways:
U.S. Hospital Emergency Department Market Report Scope
Report Attribute | Details |
Market Size in 2023 | USD 165.22 Billion |
Market Size by 2032 | USD 274.43 Billion |
Growth Rate From 2023 to 2032 | CAGR of 5.8% |
Base Year | 2022 |
Forecast Period | 2023 to 2032 |
Segments Covered | Insurance type, Condition |
Market Analysis (Terms Used) | Value (US$ Million/Billion) or (Volume/Units) |
Report Coverage | Revenue forecast, company ranking, competitive landscape, growth factors, and trends |
Key Companies Profiled | Parkland Health & Hospital System; Lakeland Regional Health; St. Joseph’s Health; Natchitoches Regional Medical Center; Schoolcraft Memorial Hospital; Clarion Hospital; USA Health; Baptist Health South Florida; Montefiore Medical Center; Lac+Usc Medical Center |
The major factor driving the growth of this market includes a high number of visits to hospital Emergency Departments (EDs) and the availability of insurance. According to CDC, there are approximately 130 million ED visits in the U.S. each year. Approximately 22% of adults aged 18 and over visited EDs in 2019. Around 60% of the emergency care was provided during non-business hours, making the non-availability of less expensive options an important factor contributing to the high number of ED visits.
Hospital EDs provide treatment for various indications such as cardiology, neurology, gastroenterology, infectious diseases, and psychiatry. Increasing the incidence of these conditions is rising the number of ED visits. Furthermore, the growing geriatric population in the U.S. is favoring the market, as the elderly often require urgent medical interventions. Many hospitals are adopting advanced technologies and tools, such as Artificial Intelligence (AI), to provide improved diagnosis and to expedite routine procedures, such as devising treatment plans and prescriptions for patients. The COVID-19 pandemic increased the adoption of telehealth in hospitals to multiple folds. The use of telehealth is helping the hospital to reduce waiting time and overcrowding in the EDs.
Medicare and Medicaid offer insurance for emergency health services. According to CDC, over 40% of ED visits by adults over the age of 65 are by ambulance, which is covered under Medicare Part B. Part B Medicare also covers air ambulance trips by helicopter or airplane if care is necessary. Medicare Part A covers a portion of the cost if the patient enters the emergency room and is admitted as an inpatient, while Medicare Part B covers the portion of the cost if the patient receives care from a doctor but is not admitted as an inpatient. Favorable reimbursement for ED services is contributing to the growth of the market for U.S. hospital emergency departments.
Various measures are taken to expand EDs to accommodate more patients are expected to help in addressing the problem of ED overcrowding. For instance, in November 2019, a not-for-profit hospital, Augusta Health, expanded its ED capacity, almost doubling its size, to include 48 treatment rooms.
Insurance Type Insights
The private and others segment dominated the market for U.S. hospital emergency departments and accounted for the largest revenue share of 55.0% in 2022. The segment is anticipated to witness substantial growth over the forecast period owing to the increasing number of commercial insurance providers and rising disposable income. For instance, a study conducted by a researcher at the University of North Carolina found that from 1996 to 2015, private insurance providers paid more for ED visits than Medicare or Medicaid.
Some private payers use value-based care strategies to reduce ED visits and hospitalizations rather than cutting coverage. Humana, for example, used value-based care models in Medicare Advantage plans, which resulted in fewer ED. Preventive screenings, collaboration with care teams, and effective management of chronic illnesses are all components of a value-based care model that can help reduce the number of emergency room visits. This is expected to boost the growth of the private payers' segment.
The Medicare and Medicaid segment held a significant share in the market for U.S. hospital emergency departments. This can be attributed to the high number of beneficiaries covered under Medicare. According to CMS, it is estimated that around 61.5 million Americans are enrolled in Medicare in 2021. Out of these 3.8 million were new enrollees. These total beneficiaries include 49% people between the ages 65 and 74 followed by 26% between75 84, 14% under age 65, and 11% are 85 or older.
Condition Insights
The infectious conditions segment dominated the U.S. hospital emergency department market and accounted for the largest revenue share of 39.4% in 2022. This can be attributed to an increasing number of ER visits during flu season. According to CDC National Hospital Ambulatory Medical Care Survey, in 2018, fever and cough accounted for a total of 5,837,000 and 4,955,000 emergency visits, respectively, in the U.S. The segment is projected to witness the highest CAGR of 6.2% during the forecast period owing to the high transmissibility of infectious diseases.
Significant increases in the number of motor vehicle accidents and increasing incidence of spinal cord injury, TBI, unintentional falls, and concussion are expected to drive the growth of the traumatic conditions segment. Traumatic Brain Injury (TBI) is a major cause of disability and death in the U.S. As per the National Hospital Ambulatory Medical Care Survey, there were 0.3 million ED visits due to accidents and 35 million ED visits due to injury in the U.S. This is likely to favor segment growth.
On the other hand, gastrointestinal and cardiac conditions segments are expected to grow at a moderate rate in the market for U.S. hospital emergency departments during the forecast period. According to Nationwide Emergency Department Sample, in 2018, a total of 7.07 million and 3.6 million ED visits took place due to diseases of the digestive and circulatory systems, respectively. The rising burden of digestive and cardiac diseases in the U.S. is likely to favor the growth of both segments.
Key Companies & Market Share Insights
The market for hospital emergency departments in the U.S. is characterized by the increasing focus of hospitals on the adoption of technologically advanced tools for facilitating improved ED services to patients. Expansion of the existing EDs and partnering with providers of emergency service management are key strategies adopted by hospitals to tackle the problem of ED overcrowding. The market for hospital emergency departments in the U.S. is highly competitive as hospitals are competing to provide better service and improved patient experience. Service providers are aiming to obtain accreditations and certifications to increase their credibility among patients.
For instance, in May 2018, St. Joseph’s Health Geriatric Emergency Department received accreditation from the American College of Emergency Physicians (ACEP). The hospitals are also partnering with other organizations to improve their medical services. In March 2017, Clarion Hospital partnered with Allegheny Health Network Emergency Medicine Management to receive physician staffing for its ED. This is expected to intensify the market competition over the forecast period. Some of the prominent players in the U.S. hospital emergency department market include:
Segments Covered in the Report
This report forecasts revenue growth at country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2032. For this study, Nova one advisor, Inc. has segmented the U.S. Hospital Emergency Department market.
By Insurance Type
By Condition
Chapter 1 Methodology and Scope
1.1 Market Segmentation & Scope
1.1.1 Estimates And Forecast Timeline
1.2 Research Objectives
1.2.1 Objective - 1
1.2.2 Objective - 2
1.2.3 Objective - 3
Chapter 2 Research Methodology
2.1 Information Procurement
2.1.1 Purchased Database:
2.1.2 Gvr’s Internal Database
2.1.3 Secondary Sources
2.1.4 Primary Research
2.2 Information or Data Analysis
2.3 Market Formulation & Validation
2.4 Model Details
2.4.1 Volume Price Analysis
2.5 List of Secondary Sources
2.6 List of Abbreviations
Chapter 3 Executive Summary
3.1 Market Outlook
3.2 Segment Outlook
3.2.1 Insurance Type
3.2.2 Condition
3.3 Competitive Insights
Chapter 4 Market Variables, Trends & Scope
4.1 Market Lineage Outlook
4.1.1 Parent Market Outlook
4.1.2 Related/Ancillary Market Outlook
4.2 Market Dynamics
4.2.1 Market Driver Analysis
4.2.1.1 High number of emergency department visits
4.2.1.2 Availability of insurance
4.2.1.3 Growing initiatives by hospitals
4.2.2 Market Restraint Analysis
4.2.2.1 Overcrowded emergency departments with a prolonged waiting period
4.2.2.2 Rising preference for convenient care
4.2.3 Industry Challenges
4.2.3.1 Possible harm to patients due to lack of medical history
4.2.3.2 Duplicate testing costs and unnecessary testing costs
4.2.3.3 Staffing issues
4.2.4 Industry Opportunities
4.2.4.1 Increasing use of telehealth for emergency departments
4.3 Penetration & Growth Prospect Mapping
4.4 Business Environment Analysis Tools
4.4.1 Pestel Analysis
4.4.1.1 Political & legal landscape
4.4.1.2 Economic landscape
4.4.1.3 Social landscape
4.4.1.4 Technology landscape
4.4.2 Porter’s Five Forces Analysis
4.4.2.1 Competitive rivalry: High
4.4.2.2 Threat of new entrants: Moderate
4.4.2.3 Bargaining power of buyers: Low
4.4.2.4 Bargaining power of suppliers: Moderate
4.4.2.5 Threat of substitutes: Moderate
4.5 Impact of COVID-19: Qualitative Analysis
4.6 Regulatory Framework & Reimbursement Scenario
4.6.1 Regulatory Framework
4.6.2 Reimbursement Scenario
Chapter 5 U.S. Hospital Emergency Department Market: Insurance Type Analysis
5.1 U.S. Hospital Emergency Department Market Share Analysis, 2023 & 2032
5.2 Segment Dashboard
5.2.1 Medicare & Medicaid
5.2.1.1 Medicare & Medicaid Insurance Market, 2020 - 2032
5.2.2 Private And Other Insurance
5.2.2.1 Private and other insurance market, 2020 - 2032
Chapter 6 U.S. Hospital Emergency Department Market: Condition Analysis
6.1 U.S. Hospital Emergency Department Market Share Analysis, 2023 & 2032
6.2 Segment Dashboard
6.2.1 Infectious Conditions
6.2.1.1 Infectious Conditions Market, 2020 - 2032
6.2.2 Traumatic Conditions
6.2.2.1 Traumatic conditions market, 2020 - 2032
6.2.3 Gastrointestinal Conditions
6.2.3.1 Gastrointestinal conditions market, 2020 - 2032
6.2.4 Psychiatric Conditions
6.2.4.1 Psychiatric conditions market, 2020 - 2032
6.2.5 Cardiac Conditions
6.2.5.1 Cardiac conditions market, 2020 - 2032
6.2.6 Neurologic Conditions
6.2.6.1 Neurologic conditions market, 2020 - 2032
6.2.7 Other Conditions
6.2.7.1 Other conditions market, 2020 - 2032
Chapter 7 Competitive Analysis
7.1 Recent Developments & Impact Analysis, by Key Market Participants
7.2 Competition Categorization
7.3 Vendor Landscape
7.3.1 Synergy Analysis: Major Deals & Strategic Alliances Analysis
7.3.1.1 Partnerships and facility expansion
7.3.1.2 List of few hospital emergency department providers
7.4 Company Market Position Analysis
7.5 Company Profiles
7.5.1 PARKLAND HEALTH & HOSPITAL SYSTEM
7.5.1.1 Company overview
7.5.1.2 Financial performance
7.5.1.3 Service benchmarking
7.5.1.4 Strategic initiatives
7.5.2 LAKELAND REGIONAL HEALTH
7.5.2.1 Company overview
7.5.2.2 Financial performance
7.5.2.3 Service benchmarking
7.5.3 ST. JOSEPH'S HEALTH
7.5.3.1 Company overview
7.5.3.2 Financial performance
7.5.3.3 Service benchmarking
7.5.3.4 Strategic initiatives
7.5.4 NATCHITOCHES REGIONAL MEDICAL CENTER
7.5.4.1 Company overview
7.5.4.2 Financial performance
7.5.4.3 Service benchmarking
7.5.4.4 Strategic initiatives
7.5.5 SCHOOLCRAFT MEMORIAL HOSPITAL
7.5.5.1 Company overview
7.5.5.2 Financial performance
7.5.5.3 Service benchmarking
7.5.6 CLARION HOSPITAL
7.5.6.1 Company overview
7.5.6.2 Service benchmarking
7.5.6.3 Strategic initiatives
7.5.7 USA HEALTH
7.5.7.1 Company overview
7.5.7.2 Financial performance
7.5.7.3 Service benchmarking
7.5.8 BAPTIST HEALTH SOUTH FLORIDA
7.5.8.1 Company overview
7.5.8.2 Financial performance
7.5.8.3 Service benchmarking
7.5.9 MONTEFIORE MEDICAL CENTER
7.5.9.1 Company overview
7.5.9.2 Financial performance
7.5.9.3 Service benchmarking
7.5.9.4 Strategic initiatives
7.5.10 LAC+USC MEDICAL CENTER
7.5.10.1 Company overview
7.5.10.2 Service benchmarking