The post-acute care sector is projected to expand from US$ 715.19 billion in 2022 to US$ 1,186.29 billion by 2030, with an anticipated compound annual growth rate (CAGR) of 6.5% during this period.

Post-acute care facilities play a crucial role in assisting patients in regaining their strength and facilitating their return home after hospitalization due to injury, illness, or surgical procedures. In light of this, hospitals are increasingly forming strategic alliances with post-acute care providers. This type of care includes a wide array of services that patients receive following their discharge from acute care settings. In certain instances, these services may serve as alternatives to traditional acute care hospitalization, depending on the specific medical condition or injury involved. The services can range from stays in acute care facilities to home health care and ongoing outpatient therapy, tailored to the severity of the patient's condition.

The Shift Towards Home Healthcare in Developing Nations Fuels Growth in the Post-Acute Care Market

According to the World Health Organization (WHO), home-based care encompasses a variety of services delivered to individuals in their residences, including psychosocial, physical, and palliative care. The transition from long-term care facilities, inpatient rehabilitation, and skilled nursing facilities to home care settings enhances the likelihood of improved, consistent, and timely interactions between patients and healthcare providers, largely due to the increasing use of cloud-based and mobile medical technologies. The COVID-19 pandemic has underscored the significance of artificial intelligence in healthcare, driven by limited hospital capacity and a shortage of skilled professionals, thereby highlighting the need for home-based care. By enabling remote monitoring of patients' vital signs, healthcare providers can reduce unnecessary admissions to healthcare facilities. This approach allows hospitals to reserve beds for those in critical need, optimizing resource management. Home care includes a comprehensive range of post-acute services delivered within the patient's home, such as skilled nursing for wound care, injections, or intravenous nutrition therapy, as well as physical, occupational, and speech therapies.

Historically, the uptake of home therapy in developing countries has been limited. While hospitals have swiftly integrated smart devices featuring electronic health record (EHR) capabilities and medication safety software, many home service providers still rely on conventional equipment. However, these nations are actively working to enhance their healthcare infrastructure, prompting the sector to modernize its offerings. Significant investments in research and development are pivotal in advancing technology in emerging markets. As access to advanced medical technologies increases, their adoption in home care settings is expected to rise, making the growing preference for home healthcare a significant trend in the post-acute care market.

The healthcare industry is experiencing rapid technological advancements that are transforming health and wellness, enhancing the security and efficiency of the sector. Remote patient monitoring and continuous tracking devices enable healthcare professionals to monitor patients' conditions and identify any deterioration through constant observation. Innovations such as smart pills or digital pills, combined with smart patches, serve as monitoring tools in post-acute care, recording medication adherence and timing. These devices allow post-acute care facilities to track all treatment-related activities of patients. For individuals with dementia, who may wander in their homes or care facilities, monitoring devices provide a means of easy tracking. Additionally, virtual reality (VR) solutions can enhance resident engagement, particularly in memory care units, helping to soothe patients and reduce the need for anti-anxiety medications while fostering empathy among caregivers. Patients transitioning from hospitals are accustomed to immediate access to healthcare professionals, which can be challenging outside acute care environments. Telehealth platforms facilitate prompt consultations with medical experts.

Standardizing electronic medical records (EMRs) across post-acute care facilities can significantly streamline patient management. Such standardization enables information sharing among facilities, staff, and providers, enhancing organizational flexibility in addressing patient needs. Consequently, the increasing emphasis on contact-free continuous monitoring devices, the acceleration of rehabilitation processes, the utilization of telehealth for immediate consultations, and the adoption of EMRs for accurate medication records are expected to create substantial opportunities for growth in the post-acute care market in the years ahead.

The post-acute care market is categorized based on service type, age group, medical conditions, and geographical regions. By service type, it includes skilled nursing facilities, inpatient rehabilitation, long-term care hospitals, home health agencies, and others. Age-wise, it is divided into elderly, adults, and other demographics. In terms of medical conditions, the market encompasses amputations, wound management, brain and spinal cord injuries, neurological disorders, and more.

Geographically, the market is segmented into North America, Europe, Asia Pacific, the Middle East & Africa, and South & Central America. North America dominated the post-acute care market in 2022, driven by the rising incidence of chronic diseases such as amputations, cardiovascular conditions, and neurological disorders, which heighten the demand for post-acute care services and attract investments from strategic and private equity sources. Additionally, numerous market players are expanding their presence in North America. The increasing prevalence of chronic diseases, the aging population, and the surge in product launches by key industry players are primary factors propelling the post-acute care market in the United States. Aging is a significant risk factor for chronic illnesses, as individuals over 60 often experience weakened immune systems. According to a 2020 study by the Population Reference Bureau, the number of individuals aged 65 and older in the U.S. was 55 million, projected to reach 95 million by 2060. The Centers for Disease Control and Prevention (CDC) reports that approximately 735,000 Americans experience heart attacks annually, with 525,000 being first-time incidents and 210,000 being recurrent cases. Furthermore, the U.S. Census Bureau indicates that 2.5 million individuals over 75 suffer from aortic stenosis, representing 12.4% of that age group. Mitral regurgitation, the most common valve disease in the U.S., affects nearly 10% of those aged 75 and older. The high demand for post-acute care services among patients with cardiovascular diseases and the elderly population in the U.S. is a key driver of market growth.

Key sources referenced in the preparation of this report on the post-acute care market include ClinicalTrails.com, the Centers for Disease Control and Prevention (CDC), the World Health Organization (WHO), and the Dubai Health Authority (DHA).