US Healthcare BPO Market Size (2024 - 2029)

US Healthcare BPO Market Analysis

The US Healthcare BPO Market size is estimated at USD 133 billion in 2024, and is expected to reach USD 231 billion by 2029, growing at a CAGR of 8.11% during the forecast period (2024-2029).

The US healthcare system favors new opportunities and growth due to the quick adoption of advanced technologies among pharmacies, pharmaceutical companies, medical equipment manufacturers, and medical care facilities. The infrastructure of this industry depends on specialized professionals who manage the operations. The expansion of the US healthcare BPO market can be attributed to the heightened awareness of outsourcing healthcare IT services and the significant presence of leading market players in the country.

Another key driving factor is the increasing strategic actions of leading firms, including product launches, alliances, and other actions, which are expected to drive market expansion throughout the forecast period. For example, in December 2023, Acquire BPO expanded its geographical presence in Texas, United States, to address the increasing demand for outsourcing solutions. The opening of the Irving headquarters reinforces the company's position as a significant player in the US market, enabling improved collaborations with clients. In March 2022, CPSI, a company specializing in healthcare solutions, acquired Healthcare Resource Group Inc. in Spokane, Washington. HRG is a prominent provider of tailored revenue cycle management (RCM) solutions and consulting services that help hospitals and clinics enhance efficiency, profitability, and patient satisfaction.

The increase in government initiatives within the country is expected to propel market growth. For instance, in February 2022, the Department of Health and Human Services (HHS) allocated nearly USD 55 million to 29 health centers funded by the HRSA to enhance healthcare access and quality for underserved populations via virtual care. Virtual care has significantly transformed the patient experience, particularly during the COVID-19 pandemic. Thus, initiatives by government organizations are anticipated to propel market growth across the country.

Moreover, the rising demand for insurance, the need to reduce healthcare delivery expenses, the consolidation of the healthcare system, pharmaceutical companies encountering patent expirations, and the compulsory adoption of ICD-10 codes (the 10th revision of the International Statistical Classification of Diseases and Related Health Problems) are significant drivers behind the expansion of the healthcare BPO market in the United States.

Thus, the market is expected to grow in the United States due to the abovementioned factors, including various government initiatives and strategic actions by market players. However, data integrity and confidentiality may restrain market growth.

US Healthcare BPO Industry Analysis

Healthcare BPO (business process outsourcing) refers to a process in which healthcare providers select the most suited third-party vendors for specific business processes. This allows hospitals and medical professionals to spend their energy and valuable time on patient care.

As per the scope of the report, the US healthcare BPO market is segmented by payer service, provider service, and pharmaceutical service. By payer service, the market is segmented into human resource management, claims management, customer relationship management (CRM), operational/administrative management, care management, provider management, and other payer services. By provider service, the market is segmented into patient enrollment and strategic planning, patient care service, and revenue cycle management. By pharmaceutical service, the market is segmented into research and development, manufacturing, and non-clinical service). For each segment, the market size is provided in terms of value in USD.