United States Health Insurance Market Revenue and Forecast (2018-2028)

United States Health Insurance Market Revenue and Forecast (2018-2028)

Executive Summary

The United States has the largest health and medical insurance industry in the world. Despite the fact that 8% of Americans lack health insurance, the US continues to see the highest rate of increase in health premiums in North America. There are two types of health insurance in the United States, private and public. Most people use a combination of both.

The health insurance industry in the United States has experienced phenomenal growth as a result of rising employer-sponsored insurance demand and rising average premium costs. Additionally, increased internet use and digitization have a favourable impact on the whole US health insurance market.

One of the significant drivers of the US health insurance industry is the increasing aging population. The country is ageing. Approximately one in five Americans will be 65 years of age or older by 2040, up from one in eight in 2000. Over the next 40 years, the number of Americans 65 and older will more than double, reaching 80 million in 2040.

Impact of COVID-19 Pandemic on National Health Spending in 2020

The US health care spending increased significantly in response to the pandemic, primarily as a result of increased federal spending, which included funding for the Provider Relief Fund (USD 122 billion in 2020) and the Paycheck Protection Programme (USD 53 billion in 2020) to help providers make up for lost income. In 2020, the COVID-19 pandemic had a significant influence on the country's healthcare system, resulting in a 9.7% increase in overall national healthcare costs, pushing total expenditures to USD 4.1 trillion.

Amendments in the Policies

Amendments made by the US government in the policies during the pandemic for helping the population get and stay covered under health insurance have helped in reducing the number of people uninsured and reaching its all-time low.

The latest decision to expand Medicaid eligibility under the Affordable Care Act (ACA) by several states has also helped in reducing the number.

Performance of Segmentation

By Type of Insurance Provider: The United States Health Insurance Plans by Type of Insurance Provider is dived into private individual plans and Employer- based health insurance plans. The largest share was held by Private individual plans in 2022. These plans are typically purchased directly by individuals and families from private health insurance companies or through health insurance marketplaces/exchanges.

Direct Written Premium by Line of Business: The US health insurance market’s direct written premium by line of the business segment is divided into Comprehensive, Medicare Supplement, FEHBP, Medicaid, Medicare and others. Medicare and Medicaid account for the major market share. The top three highest increases in gross written premiums from 2020 were Medicare, Medicaid and Individual Comprehensive in 2021. An increase in enrollment and premium rates can be linked to the growth of Medicaid and Medicare.

Future Outlook

Due to the pandemic and the economic slowdown brought on by the Russia-Ukraine conflict, the majority of insurance carriers in the United States of America have shown great flexibility and resilience in overcoming a variety of obstacles during the past few years. A lot of work was put into enhancing the systems and capacities, and it clearly paid off to have nimble talent and technological tactics.

Overall, the future of health insurance is expected to be distinguished by a trend towards consumer-driven healthcare, the use of technology to improve the healthcare experience, and a greater emphasis on mental health and behavioral health. By 2026, market Is expected to reach at saturation point and witness a positive growth but at a slow pace.

Scope of the Study

Makreo research has published study on Insurance Market specific to Health Insurance titled, “United States Health Insurance Market”. The study evaluates Health assessment profile with detailed assessment of different sectors of the United States. Market has witnessed many shifts in recent past that has impacted profit margins of the players but also accounted for rise in demand of private health insurance thus this report highlights private and public health insurance market. Report is the right blend of qualitative and quantitative factors with market dynamics and sectors assessment.

Health Assessment Profile: Life Expectancy Rate, Chronic Disease, Mortality Rate, Opioid Epidemic, Mental Health Issue, Health Insurance Coverage.

Segmentation Covered:

By Type of Insurance Provider: Private individual plans and Employer-based health insurance plans.

Direct Written Premium by Line of Business: Comprehensive, Medicare Supplement, FEHBP, Medicaid, Medicare and others.

Companies Covered: United Health, Elevance Health, Centene Corp, CVS Health Corporation, Humana Inc, The Cigna Group, Molina Healthcare, Health Care Service Corporation.

Key Questions Answered

1. What is the present performance of United States Health Insurance Market

2. At what rate is United States Health Insurance Market growing?

3. What are the key factors driving the United States Health Insurance Market ?

4. What are the factor that affect the Health Insurance Market ?

5. What is the current health status of people of United States ?

6. Who are the major players operating in the Health Insurance market and how these players are contributing to the industry?

7. What is the investment scenario?

8. What are the key Business Highlights of the players?

9. What is the expected future of the United States Health Insurance Market?

10. How the United States economy has performed in the past and what is the future expected growth outlook?