The medical transportation industry is growing rapidly, with new technological advancements and treatments being developed continuously. This has led to an increased demand for medical transportation services, as you must transport patients to and from medical appointments and facilities.
Let’s take a look at the medical transportation industry in some detail.
Medical Transport Industry Overview
The medical transportation industry includes a wide range of services, from ambulance services to non-emergency medical transportation (NEMT) providers. The sector is responsible for transporting patients to and from medical appointments, as well as to and from hospitals and other medical facilities.
The medical transportation industry is growing at a rapid pace, with the global medical transportation market expected to reach $37.3 billion by 2025.1 This growth is being driven by several factors, including an aging population, the increasing prevalence of chronic diseases, and the need for medical transportation services in rural areas.
In the United States, the medical transportation industry is regulated by the Centers for Medicare & Medicaid Services (CMS). CMS provides reimbursement for medical transportation services, which is a significant source of revenue for medical transportation providers.
Medical Transportation Market Share
The medical transportation industry is highly fragmented, with many small and regional players. The top five companies in the medical transportation market accounted for less than 20% of the total market in 2017.
The largest medical transportation company in the United States is American Medical Response (AMR), which operates in 44 states and Puerto Rico. AMR is a subsidiary of Envision Healthcare, which KKR acquired in 2018.
The second-largest medical transportation company in the United States is Falck USA, a subsidiary of Falck A/S, a Danish company. Falck USA operates in 20 states and provides a wide range of medical transportation services, including ambulance, non-emergency medical transportation, and patient transport.
The medical transportation market is estimated to be worth over $24 billion by 2020, making it a lucrative industry.
Medical Transportation Industry Interesting Statistics
- The medical transportation industry is growing rapidly, with the global medical transportation market expected to reach $37.3 billion by 2025.
- In the United States, over 22,000 medical transportation companies employ more than 200,000 people.
- The medical transportation industry is highly fragmented, with the top five companies accounting for less than 20% of the total market.
- The medical transportation market is estimated to be worth over $24 billion by 2020.
Market Trends in the Medical Transportation Industry
The medical transportation industry is driven by several trends, including the aging population, the increasing prevalence of chronic diseases, and the need for medical transportation services in rural areas.
The aging population is one of the most important drivers of growth in the medical transportation industry. The number of people aged 65 and over is expected to increase from 703 million in 2017 to 1.5 billion by 2050. This increase in the aging population will lead to a higher demand for medical transportation services, as older adults are more likely to need medical transportation to and from medical appointments.
The increasing prevalence of chronic diseases is another important trend that is driving growth in the medical transportation industry. The number of people living with chronic diseases is expected to increase from 1.7 billion in 2015 to 2.8 billion by 2030. This increase in the prevalence of chronic diseases will lead to a higher demand for medical transportation services, as patients with chronic diseases will need to be transported to and from medical appointments and hospitals.
The need for medical transportation services in rural areas is also a significant driver of growth in the medical transportation industry. In the United States, 46 million people are living in rural areas, and the number of people living in rural areas is expected to increase by 2% between 2010 and 2020.4 The lack of public transportation in rural areas makes medical transportation an essential service for residents.
Future Outlook for the Medical Transportation Industry
The medical transportation industry is expected to continue to grow at a rapid pace in the coming years. The aging population and the increasing prevalence of chronic diseases will continue to drive growth in the medical transportation industry. In addition, the implementation of the Affordable Care Act (ACA) is expected to increase the demand for medical transportation services, as more people will have access to health insurance and can afford medical transportation.
The medical transportation industry is also expected to benefit from the increasing use of technology. For example, the use of GPS and real-time tracking systems is likely to increase in the medical transportation industry, as they can help to improve the efficiency of medical transportation services. In addition, the use of mobile applications is expected to grow in the medical transportation industry, as you can use them to book and pay for medical transportation services.
Conclusion
If you’re thinking of starting a medical transportation business, now is a good time to do so. There is a growing demand for medical transportation services, and the industry is expected to continue to grow in the coming years.