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Hospices & Palliative Care Centers in the US - Market Research Report (2013-2028)

Demetrios Berdousis Demetrios Berdousis New York, United States Last Updated: November 2023 NAICS OD4952

Revenue

$39.3bn

2023

$39.3bn

Past 5-Year Growth

Profit

$X.Xbn

Employees

515k

Businesses

8,796

Wages

$XX.Xbn

Hospices & Palliative Care Centers in the US industry analysis

Economic and demographic forces have recently fueled spending on hospice and palliative care. Additional government funding, rising healthcare costs and a general shift toward high-quality end-of-life care at home also increasingly direct healthcare spending to providers. An aging population requires support from hospice and palliative centers for complex medical needs – leading 1.7 million Americans to receive hospice services in 2020. As providers treat more aging adults, the industry has become more intertwined with Medicare and Medicaid, leaving providers more reliant on payment rates (even a minor rate change can have substantial effects). Rising Medicare spending on hospice also brings additional oversight and scrutiny to a complex regulatory environment. Still, the senior population's expanding medical needs are leading industry-wide revenue to climb. Over the past five years, revenue has grown at a CAGR of 1.6% to $39.3 billion, including an expected 3.8% increase in 2023. Profit is expected to account for 9.6% of revenue in 2023, remaining relatively steady with 9.6% in 2018.

Trends and Insights

  • Hospice and palliative care providers will benefit as the focus on home health settings expands. Providers are integral to delivering comprehensive and sensitive in-home care to an aging population.
  • Hospice providers deliver the most care to patients at home. Patients and their families prefer in-home hospice to improve their quality of life and incur fewer medical costs.
  • Urban areas have more hospice providers than rural ones by over 60.0%. Smaller labor pools and inflated clinician travel costs contribute to critical access shortages in rural areas.
  • An uptick in consolidation activity is shifting the industry's landscape. Hospice providers are scaling to meet rising capacity for hospice and palliative care as the population ages.

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Industry Statistics and Trends

Market size and recent performance (2013-2028)

Industry revenue has grown at a CAGR of 1.6 % over the past five years, to reach an estimated $39.3bn in 2023.

Trends and Insights

Demographic trends shape the hospice landscape

  • Economic and demographic forces have been fueling spending on hospice and palliative care.
  • Additional trends and insights available with purchase
Hospices & Palliative Care Centers in the US
Revenue (2013-2028)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

Hospice providers will benefit as more healthcare spending is directed to home health

  • A growing senior population nationwide will expand the need for comprehensive hospice and palliative care centers.

Biggest companies in the Hospices & Palliative Care Centers in the US

Company
Market Share (%)
2023
Revenue ($m)
2023
Profit ($m)
2023
Profit Margin (%)
2023
Vitas Healthcare Corp
1,376.0
246.0
17.9
Humana Inc.
919.8
111.9
12.2

To view the market share and analysis for all 2 top companies in this industry, view purchase options.

Products & Services Segmentation

Hospices & Palliative Care Centers in the US
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Home care, Assisted living facility and Skilled nursing facility. Home care is the largest segment of the Hospices & Palliative Care Centers in the US.

Trends and Insights

In-home care is a growing part of healthcare delivery

  • In-home hospice treatment includes hospice care for patients in their homes, nursing homes or other residential facilities. Patients who don't need full-time support can receive in-home care.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

This industry provides programs that offer symptom relief and pain management for patients with life-terminating illnesses. Hospice care applies to companies that administer care (in terms of comfort rather than cure) to patients with life-limiting illnesses or diseases. Nonhospice palliative care is provided to individuals with serious, complex illnesses who may or may not be expected to recover fully; this segment is excluded from this industry.

What's included in this industry?

Providing continuous home careProviding general inpatient careProviding routine home careProviding inpatient respite careProviding hospice and palliative care

Companies

Vitas Healthcare CorpHumana Inc.

Purchase this report to view all 2 major companies in this industry.

Related Terms

HOSPICEMEDICAREPALLIATIVE CARE

Industry Code

NAICS 2017

NAICS 62311 - Hospices & Palliative Care Centers in the US

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Hospice and palliative care providers will benefit as the focus on home health settings expands. Providers are integral to delivering comprehensive and sensitive in-home care...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2013-2022) and forecast (2023-2028)
  • Employees, including historical (2013-2022) and forecast (2023-2028)
  • Businesses, including historical (2013-2022) and forecast (2023-2028)
  • Profit, including historical (2013-2023)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Hospice providers deliver the most care to patients at home. Patients and their families prefer in-home hospice to improve their quality of life and incur fewer medical costs...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2023
  • Product innovation level

Charts

  • Products & services segmentation in 2023
  • Major market segmentation in 2023

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Urban areas have more hospice providers than rural ones by over 60.0%. Smaller labor pools and inflated clinician travel costs contribute to critical access shortages in rura...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each state
  • Share of population compared to establishments in each region in 2023

Tables

  • Number and share of establishments in each state in 2023
  • Number and share of revenue each state accounts for in 2023
  • Number and share of wages each state accounts for in 2023
  • Number and share of employees in each state in 2023

Detailed analysis

  • Geographic spread of the industry across North America, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

An uptick in consolidation activity is shifting the industry's landscape. Hospice providers are scaling to meet rising capacity for hospice and palliative care as the populat...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2018-2023
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Vitas Healthcare is the leading hospice and palliative care provider in the US. Vitas is the only hospice provider with a market share exceeding 5.0% and the company’s footho...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2019 through 2023
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2023
  • Overview of Vitas Healthcare Corp's performance by revenue, market share and profit margin from 2017 through 2023
  • Overview of Humana Inc.'s performance by revenue, market share and profit margin from 2017 through 2023

Detailed analysis

  • Description and key data for Vitas Healthcare Corp, and factors influencing its performance in the industry
  • Description and key data for Humana Inc., and factors influencing its performance in the industry

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Hospice providers work closely with the Centers for Medicare and Medicaid Services. Providers are navigating an increasingly stringent CMS regulations as they treat a growing...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2013-2028) 
  • Assistance historical data and forecast (2013-2028) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

COVID-19 intensified staffing shortages predating the pandemic. Labor shortfalls and low retention are pressuring hospice and palliative care providers to boost compensation.

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
  • Investment vs. share of economy

Data tables

  • Industry Multiples (2016-2021)
  • Industry Tax Structure (2016-2021)
  • Income Statement (2016-2021)
  • Balance Sheet (2016-2021)
  • Liquidity Ratios (2016-2021)
  • Coverage Ratios (2016-2021)
  • Leverage Ratios  (2016-2021)
  • Operating Ratios (2016-2021)
  • Cash Flow & Debt Service Ratios (2013-2028)
  • Revenue per Employee (2013-2028)
  • Revenue per Enterprise (2013-2028)
  • Employees per Establishment (2013-2028)
  • Employees per Enterprise (2013-2028)
  • Average Wage (2013-2028)
  • Wages/Revenue (2013-2028)
  • Establishments per Enterprise (2013-2028)
  • IVA/Revenue (2013-2028)
  • Imports/Demand (2013-2028)
  • Exports/Revenue (2013-2028)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2013-2028)
  • IVA (2013-2028)
  • Establishments (2013-2028)
  • Enterprises (2013-2028)
  • Employment (2013-2028)
  • Exports (2013-2028)
  • Imports (2013-2028)
  • Wages (2013-2028)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Hospices & Palliative Care Centers in the US industry in United States in 2024?

The market size of the Hospices & Palliative Care Centers in the US industry in United States is $39.3bn in 2024.

How many businesses are there in the Hospices & Palliative Care Centers in the US industry in 2023?

There are 8,796 businesses in the Hospices & Palliative Care Centers in the US industry in United States, which has grown at a CAGR of 1.3 % between 2018 and 2023.

Has the Hospices & Palliative Care Centers in the US industry in United States grown or declined over the past 5 years?

The market size of the Hospices & Palliative Care Centers in the US industry in United States has been growing at a CAGR of 1.6 % between 2018 and 2023.

What is the forecast growth of the Hospices & Palliative Care Centers in the US industry in United States over the next 5 years?

Over the next five years, the Hospices & Palliative Care Centers in the US industry in United States is expected to grow.

What are the biggest companies in the Hospices & Palliative Care Centers in the US market in United States?

The biggest companies operating in the Hospices & Palliative Care Centers market in United States are Vitas Healthcare Corp and Humana Inc.

What does the Hospices & Palliative Care Centers in the US in United States include?

Providing continuous home care and Providing general inpatient care are part of the Hospices & Palliative Care Centers in the US industry.

Which companies have the highest market share in the Hospices & Palliative Care Centers in the US in United States?

The company holding the most market share in United States is Vitas Healthcare Corp.

How competitive is the Hospices & Palliative Care Centers in the US industry in United States?

The level of competition is moderate and increasing in the Hospices & Palliative Care Centers in the US industry in United States.

Related Industries

Widen your competitive advantage with related industries

Competitors

  • Home Care Providers in the US

Complementors

  • Primary Care Doctors in the US
  • Specialty Hospitals in the US
  • Nursing Care Facilities in the US

International industries

  • Aged Care Residential Services in Australia
  • Aged Care Residential Services in New Zealand
  • Residential Nursing Care in the UK
  • Residential Nursing Care in Ireland

View all industries in United States

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