Long term care includes a wide range of services that help meet both the medical and non-medical needs of people with a chronic illness or disability who cannot care for themselves for long periods. Long term care services can be provided at home, in the community, or in various types of facilities, including nursing homes and assisted living facilities. The growing geriatric population affected by chronic diseases is one of the key drivers boosting demand for long term care.
The global Long Term Care Market is estimated to be valued at US$ 720.02 billion in 2024 and is expected to exhibit a CAGR of 5.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Rising healthcare costs for the aged population is a key trend propelling growth of the long term care market. According to the U.S. Bureau of Labor Statistics, medical care prices have increased significantly faster than overall inflation rates. In the last two decades, overall inflation has increased by around 60%, while costs for medical care services have increased by around 200%. The overall increase is largely attributed to rising healthcare costs for elderly people who require long term care. High costs of nursing homes and professional care is increasing demand for cost-effective home-based long term care services. This is expected to present lucrative growth opportunities for vendors during the forecast period.
SWOT Analysis
Strength: Long Term Care Market provides support and services to seniors and disabled populations who need assistance with daily activities. This helps them live independently and improves their quality of life.
Weakness: The services offered by this market are often expensive which limits their adoption. Additionally, there is a huge shortage of skilled staff and caregivers in this industry.
Opportunity: Rising aging population globally is driving the demand for long term care services. Also, increasing focus on home healthcare over nursing homes and facilities will open newer opportunities.
Threats: Strict regulations and compliance requirements add operational challenges for businesses. Economic slowdowns can negatively impact the spending on long term care services.
Key Takeaways
The global long term care market is expected to witness high growth over the forecast period owing to rapidly aging populations worldwide. The global Long Term Care Market is estimated to be valued at US$ 720.02 billion in 2024 and is expected to exhibit a CAGR of 5.1% over the forecast period 2023 to 2030.
Regionally, North America dominates the market currently due to high healthcare expenditures and well-established insurance systems aimed at supporting senior care. Asia Pacific is expected to offer lucrative opportunities with countries like China and India having a large elderly base that will require these services.
Key players operating in the long term care market are Major players in the market are also focusing on offering care at home and through assisted living facilities. This approach is becoming popular compared to nursing homes. Companies are investing in digital technologies to make long term care more affordable and accessible to customers. Newer services around remote patient monitoring, medication management, and telehealth are being introduced.
Partnerships between insurers and service providers are increasing to develop customized, flexible solutions for customers. Acquisitions are also taking place as major players look to enhance their offerings and strengthen regional presence. Overall, innovation coupled with rising demand is likely to drive further expansion of the long term care industry over the coming years.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
