The popularity of chronic diseases, an aging population, increasing doctor acceptance of home health care, medical developments, and the drive toward cost-effective treatment alternatives from private and public payers have all promoted the growth of home healthcare market. Over the last few years up to 2018, the revenue of this industry is expected to rise at an annual rate of 3.40% to 93.4 billion dollars, including a growth of 3.10% in 2018 alone.
Despite the shortage of skilled personnel and continued reimbursement cuts, consolidation is projected to continue over the next five years up to 2023. These factors will cause profit margins to decline and constrain the profit growth in the next few years.
The industry of Home Care Providers is labor intensive since many companies rely on skilled caregivers to deliver these services. The quality of healthcare services is highly dependent on labor, and personal interaction is needed for most services. The personal care level is high and as a result, increases labor-related costs. Transportation expenses can also increase labor costs since many professionals in the industry make house calls, meaning they spend most of their on-job-time traveling. Moreover, since care is given at home, it eliminates the need for established facilities which will cut down capital costs.
Advances in technology can also have many implications for home care, and it is the primary key to the future of the home care industry. From the sensors in the homes to smartphone capabilities, new technology is a significant aspect of home care, although better funding is typically needed to support this undertaking.
There are countless ways the home care leaders can employ to increase the use of modern technology, and this includes more smartphone capabilities to enable the caregivers to communicate quickly and get unlimited access to health-related documents and resources, as well as to improve administration functions.
Above all, home care leaders are devoted to getting solutions that will boost the jobs of home care aides and care delivery to the patients. As this field continues to change, the many agencies striving to keep abreast of the daily challenges are ready for opportunities to help them prepare well for the future.
Future discussions should evaluate the additional support and training needed by home care aides and family caregivers, the people who usually spend most of their time with the patients, to help them work hand in hand to offer high-quality care.
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