Healthcare Discount Plan

Healthcare Discount Plan

A healthcare discount plan, also known as a medical discount plan or healthcare savings plan, is a type of program that offers discounted rates on various healthcare services and products for its members. Unlike health insurance, which covers a portion of medical expenses after deductibles and copayments, a healthcare discount plan provides direct discounts on the cost of services at the point of purchase or service utilization.

The Healthcare Discount Plan Market is expected to grow at a strong CAGR of 15.5% during the forecast period (2023-2030) owing to the rising healthcare costs. The current healthcare expenditure is 10.89% of GDP globally, as per the World Bank, in 2020. Healthcare expenses have been steadily increasing over the years, making it difficult for many individuals to afford necessary medical services. Healthcare discount plans appeal to those seeking more affordable options for accessing healthcare without traditional insurance.

• Based on the service type, the market is segmented into prescription drugs, dental care, vision care, hearing aids, alternative care, online wellness improvement plan, and others. Amongst these, The vision care services category is expected to grow at a substantial CAGR during the forecasted period (2023-2030). By reducing costs, improving health outcomes, and preventing vision-related issues, vision care services can significantly contribute to the expansion of the healthcare discount plan market.
• By coverage type, the market is segmented into individual, family, and others. Among these, the family held a significant share of the market in 2022. As families are looking for ways to save money on healthcare expenses while ensuring that their entire family has access to necessary healthcare services. Organizations like Cigna TTK offer a 10% family discount for 2 individuals however the rate of discount is unaltered with additional individuals added to the plan. In addition, many healthcare discount plans offer family coverage at a lower cost than traditional health insurance plans.
• For a better understanding of the market adoption of the healthcare DISCOUNT PLAN industry, the market is analyzed based on its worldwide presence in the countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, U.K., France, Italy, Spain, Rest of Europe), Asia-Pacific (China, Japan, India, South Korea, and Rest of Asia-Pacific), Rest of World. North America dominated the healthcare discount plan market in 2022 due to North America is home to a significant number of the world's biggest medical care suppliers and payers, that provide dental care, vision care, hearing aids, alternative care, online wellness improvement plan, and others. National Health Expenditure in U.S. Data grew 2.7% to USD 4.3 trillion in 2021, or USD 12,914 per person, and accounted for 18.3% of the Gross Domestic Product (GDP), as per the American Medical Association in 2023. Additionally, healthcare costs have been rising rapidly in Canada and the United States, resulting in a significant number of uninsured or underinsured individuals. In addition, numerous health insurance plans in North America have high deductibles and copayments, resulting in substantial out-of-pocket costs for patients.
• Some of the major players operating in the market include eHealthInsurance Services, Inc., Health Advocate, SSM Health Insurance Co., Aetna Inc., AmeriPlan Corporation, Careington International Corporation, Coast to Coast Vision, NEW BENEFITS, UnitedHealth Group, Cigna.