The U.S. Medical Coding Market size is expected to reach USD 31.4 billion by 2028 registering a CAGR of 8.3% during the forecast period, according to a new report by Grand View Research, Inc. Frequent revisions in the medical codes is one of the major parameter driving the market growth. Moreover, new codes were developed for coding and billing of the COVID-19 disease. For instance, new ICD codes were launched by the World Health Organization, such as U07.1, B34.2, and B97.29. Moreover, CPT published new codes for COVID-19 testing. The Centers for Medicare & Medicaid Services (CMS) also developed new codes for lab testing. This, in turn, is estimated to drive market growth over the coming years.
There is a significant rise in healthcare costs. According to the Society of Actuaries, cumulative change in healthcare spending per person was 18.4% between 2014 and 2018 but the cumulative change in utilization was only 3.1% during the same period in the U.S. The cumulative growth in average price was 15.0% between 2014 and 2018. Healthcare organizations face tremendous pressure to reduce healthcare costs without compromising healthcare efficiency. Medical coding aids in reducing these costs while offering the right treatments. This, in turn, is estimated to support the market growth.
Related Press Release @ U.S. Medical Coding Market Report
U.S. Medical Coding Market Report Highlights
- The rapid adoption of Electronic Health Records (EHRs) is contributing to the market growth
- For instance, according to the office of the national coordinator for health information technology, the percentage of EHRs in office-based physicians was 20.8% in 2004, which increased to 85.9% in 2017
- The ICD classification system segment led the market in 2020 with a revenue share of over 69%; however, the CPT segment is estimated to register the fastest CAGR from 2021 to 2028
- The outsourced component segment accounted for the largest revenue share in 2020 and is projected to expand at the fastest CAGR during the forecast period
- The segment growth can be attributed to the popular trend of outsourcing these services due to the advantages, such as reduced turnaround time & operational costs, and enhanced accuracy