Residential Intellectual Disability Facilities in the US Industry Market Research Report from IBISWorld has Been Updated

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Because of the expanding and aging US population, a growing number of Americans qualify for Medicare and Medicaid, which is driving demand for residential intellectual disability facilities. For these reasons, industry research firm IBISWorld has updated a report on the Residential Intellectual Disability Facilities industry in its growing industry report collection.

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People with intellectual disabilities are living longer, which means longer periods of required care

The Residential Intellectual Disability Facilities industry primarily houses and tends to the daily needs of individuals who have been diagnosed with impaired learning abilities and vocational limitations. According to IBISWorld Industry analyst Austen Sherman, “birthrates, the aging population, disposable income and federal funding for Medicare and Medicaid largely determine demand for industry facilities, which drives revenue growth.” Since 2008, funding for Medicare and Medicaid has increased. Because of the expanding and aging US population, a growing number of Americans qualify for one or more of these government programs. Consequently, IBISWorld expects revenue for the industry to increase at an average rate of 2.1% annually to total $23.8 billion in the five years to 2013, including growth of 0.3% in 2013. During the past five years, many state-run institutions and some of the industry's largest facilities have struggled as the popularity of smaller residential facilities has grown. The smallest private institutions typically have fewer than seven residents and are able to provide a more personalized level of care. As a result, a number of new operators have entered the industry as it takes multiple facilities to meet the level of services provided by large, state-run institutions. IBISWorld estimates that the number of industry enterprises has risen during the five years to 2013; a trend that is expected to continue.

People with intellectual disabilities are living longer, which means more individuals will require services for a longer period. The majority of people with intellectual or developmental disabilities currently reside with a family caregiver or spouse as opposed to supervised residential settings. As caregivers age, they will become less able or unable to care for family members with intellectual and developmental disabilities (e.g. as caretakers often become disabled themselves or pass away). “A decreasing number of family caregivers will likely bolster demand for industry facilities and services,” says Sherman. In light of these caregiving and aging trends, IBISWorld forecasts industry revenue will increase over the next five years.

The level of concentration in the Residential Intellectual Disability Facilities industry has remained relatively stable over time. The industry is highly fragmented with the majority of employing establishments having fewer than 20 employees. The reason being is that most residential intellectual disability facilities are privately run that cater to local communities. Very few facilities are large organizations that cater to individuals on a national level. A trend toward smaller facilities with more specialized services will keep industry concentration low through the five years to 2018.

For more information, visit IBISWorld’s Residential Intellectual Disability Facilities in the US industry report page.

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IBISWorld industry Report Key Topics

This industry primarily houses and tends to the daily needs of individuals diagnosed with impaired learning abilities and vocational limitations. Industry operators focus on providing room, board, protective supervision and counseling; however, some healthcare may be provided at industry facilities.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.

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Gavin Smith
IBISWorld
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