Unemployment cut into workers' compensation claims, a key source of industry demand
Los Angeles, CA (PRWEB) July 31, 2012
During the past five years, the Medical Case Management Services industry has achieved steady growth as a result of expanded usage for primary medical care and workers' compensation claims. Companies in the industry serve as a liaison between patients and healthcare providers in order to ensure appropriate and cost-effective treatment plans for patients. Typically, industry operators are employed by insurance companies, employers, third-party administrators, primary care facilities and hospitals. “Case management services are also funded through Medicare and Medicaid programs to assist the elderly, disabled or other at-risk persons in receiving and managing publicly funded medical care,” says IBISWorld industry analyst Caitlin Moldvay.
In the five years to 2012, industry revenue grew at an average annual rate of 2.2% to $5.4 billion. However, industry revenue did contract briefly in 2009 because heightened unemployment led to lower demand for case management services for employee medical claims. Furthermore, says Moldvay, industry growth slowed as a result of changing regulations regarding Medicaid reimbursement levels for case management services. In the past three years, however, industry revenue has grown steadily, partly as a result of slowly improving US employment, which has increased the number of workers' compensation claims. In 2012, industry revenue is expected to rise 3.6%. The Medical Case Management Services industry’s largest firm, GENEX Services, has experienced particularly strong growth over the past five years thanks to a string of acquisitions.
During the next five years to 2017, industry revenue is projected to rise. Industry growth will be supported by continued improvement in US employment levels, which will increase demand for case managers in the advent of workplace injuries. Moreover, continued implementation of the Patient Protection and Affordable Care Act is expected to lead to greater demand for case management services for cost-containment measures and preventative treatment for patients. For more information, visit IBISWorld’s Medical Case Management Services in the US industry report page.
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IBISWorld industry Report Key Topics
This industry includes companies that plan and coordinate healthcare services appropriate for medical rehabilitation. These services include care assessment and recommending treatment plans to ensure that appropriate medical care is provided to disabled, ill or injured individuals.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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