Palliative Services Market to Reach $25.8 Billion by 2033

Introduction

The palliative care market is experiencing substantial growth driven by demographic shifts, policy changes, and enhanced healthcare integrations. As the global elderly population increases along with the prevalence of chronic diseases, the demand for palliative services is projected to rise significantly. In the United States alone, the integration of palliative care into hospital settings has seen a notable increase, with dedicated teams more than tripling over the past two decades. This reflects a broader acceptance and institutionalization of palliative care within health systems, aiming to address both the medical and emotional needs of patients with life-limiting illnesses.

Recent educational advancements have further supported the palliative sector’s growth. Initiatives such as the development of specific training programs and certifications aim to improve the skills and competencies of healthcare providers. These educational efforts are crucial for enhancing the quality of care provided to patients and addressing the urgent need for trained palliative care professionals. Additionally, quality and access initiatives, like the Hospice Quality Reporting Program, are being implemented to maintain high standards of care across the sector.

The industry has also witnessed significant corporate actions aimed at improving palliative care services. For instance, in November 2023, Thoma Bravo acquired NextGen Healthcare for $1.8 billion, a move that seeks to enhance ambulatory healthcare technology, including palliative care services. This acquisition highlights a trend toward integrating palliative care into broader healthcare services, emphasizing the importance of technology in improving care quality and accessibility.

Moreover, in 2024, Senior Care Centers of America Inc. launched a pioneering training program focused on palliative care, addressing the demand for skilled care providers. Additionally, Seymour Health expanded its community services in July 2023 to include palliative care in several regions, illustrating the sector’s response to the growing need for accessible care services. These developments are part of a broader trend to enhance the availability and quality of palliative care, ensuring it is equipped to meet the needs of an aging and diversely ill population.

The disparity in global health equity remains a significant challenge, with only a fraction of those needing palliative care currently receiving it, especially in low and middle-income countries. This underscores the need for concerted efforts to expand access to these crucial services worldwide. The ongoing expansions, educational initiatives, and strategic acquisitions are shaping a future where palliative care is more integrated, accessible, and responsive to the complex needs of the global population, marking it as an essential component of comprehensive healthcare.

Key Takeaways

• Market valuation is projected to grow from USD 12.7 billion in 2023 to USD 25.8 billion by 2033, achieving a CAGR of 7.3%.
• The primary focus of palliative care is to enhance the quality of life for patients and families by managing illness-related symptoms and stress.
• The sector comprises healthcare providers, hospice facilities, pharmaceuticals, and medical equipment manufacturers, all essential to effective palliative care.
• Cancer conditions lead the market segments with over 28% share in 2023, reflecting rising global cancer incidences.
• Hospitals and clinics are the dominant providers, holding more than 33% of the market and offering comprehensive, accessible palliative services.
• An aging population and the rising prevalence of chronic diseases are key drivers boosting the demand for palliative care.
• About 60% of patients eligible for palliative care do not receive it, indicating significant global disparities and highlighting the need for better access.
• Technological advancements in telemedicine are improving palliative care by reducing hospital stays and enabling remote monitoring of patients.
• There is a growing preference for home-based palliative care, which doubles the likelihood of patients dying at home and reduces hospital deaths.
• North America leads the market with a 38% share in 2023, supported by a strong healthcare system and favorable policies.

Palliative Services Statistics

Palliative Care Needs

• Each year, globally, 56.8 million people require palliative care; of these, 25.7 million are in their last year of life.
• Annually, most palliative care cases occur in low- and middle-income countries.
• Only 14% of those worldwide who need palliative care actually receive it.
• In 2018, 79% of the global population accessed only 13% of the available morphine for pain management.
• As reported in 2018, 79% of the world’s population utilized just 1% of 388 tons of manufactured morphine.
• Essential pain management and respiratory distress medications, such as opioids, are significantly underutilized, particularly in lower-income regions.

Funding and Accessibility

• In 2019, funding for palliative care was accessible in 68% of countries surveyed by the WHO.
• Only 40% of these countries reported that palliative services reached at least half of the individuals in need.
• Access to hospital-based palliative care significantly varies across the U.S.
• Palliative care teams in U.S. hospitals have increased by 164% since 2000, now present in over 1,700 hospitals.
• About 61% of U.S. hospitals with at least 50 beds feature a palliative care team.

Impact and Potential Savings

• Early palliative care for lung cancer patients can lead to less depression, enhanced quality of life, and a survival increase of 2.7 months.
• Palliative care, if fully implemented in U.S. hospitals, could save up to $6 billion annually.
• Around 92% of people would consider palliative care for a loved one with a serious illness if adequately informed about it.

Specific Needs and Utilization in India

• In India, the estimated overall need for palliative care is 6.21 per 1,000 population.
• Rural areas in India show a higher need for palliative care, at 7.69 per 1,000 population, compared to urban areas at 3.34 per 1,000.
• Indian females exhibit a higher need for palliative care, at 9.64 per 1,000 population, than males at 6.77 per 1,000.
• The greatest need for palliative care is among individuals over 60 years old, at 37.86 per 1,000 population.
• Children under 15 years display the lowest need, at 0.60 per 1,000 population.
• Only 1-2% of Indians in need of palliative care receive it, significantly below the global average of 14%.
• States like Kerala, Mizoram, Tamil Nadu, Karnataka, Punjab, and Assam report cancer incidence rates over 130 cases per 100,000 population.

Challenges in Medication Accessibility and Policy

• The Narcotic Substances and Psychotropic Substances (NDPS) Act of 1985 significantly restricted access to morphine in India.
• At least 10% of the budget for cancer care services is allocated for palliative care under India’s twelfth 5-year plan.
• Specialized palliative care training of 2 weeks is mandatory for one doctor in each district hospital in India.

Hospice and Home Care Services

• India has around 88 specific home care programs distinct from services offering occasional home visits.
• CanSupport operates 11 home care teams in Delhi and the National Capital Region, each visiting around 80-85 advanced cancer patients weekly.
• The Kerala network includes more than 60 units serving a population of over 12 million.
• Less than 3% of India’s cancer patients have access to adequate pain relief.

U.S. Palliative Care Utilization

• Approximately 90 million Americans live with serious illness, a number expected to more than double in the next 25 years.
• Around 6 million people in the U.S. could benefit from palliative care services.
• About 68% of Medicare costs are associated with individuals having four or more chronic conditions, typical for palliative care patients.

Emerging Trends

• Integration Across Settings: The integration of palliative care across various healthcare environments is becoming more prevalent. Traditionally confined to hospitals, palliative services are now expanding into community clinics and home care settings. This broader integration facilitates seamless care continuity for patients with serious illnesses, ensuring that they receive the same quality of care regardless of location. Such integration not only enhances patient comfort and satisfaction but also supports families during ongoing care transitions, thereby optimizing the overall management of chronic and terminal conditions.
• Technological Advancements: Technological innovations are significantly transforming palliative care. The rising adoption of telehealth platforms and digital health tools has made palliative services more accessible, particularly beneficial in rural and underserved communities. These technologies support remote patient monitoring and enable virtual consultations, reducing the need for physical travel and allowing patients to receive care in the comfort of their own homes. This not only improves access to palliative care but also ensures that patients can stay connected with their healthcare providers, enhancing care delivery and patient satisfaction.
• Interdisciplinary Training: There is an increasing focus on interdisciplinary training for palliative care professionals. These training programs are designed to equip a diverse group of healthcare workers, including nurses, doctors, and support staff, with the necessary skills to provide comprehensive palliative care. By fostering a multi-disciplinary approach, these programs ensure that all aspects of patient care are addressed, from medical to emotional support, enhancing the overall effectiveness of palliative care services and ensuring a higher standard of care for patients at the end of life.
• Patient and Family-Centered Care: Palliative care is increasingly adopting a patient and family-centered approach. This trend prioritizes the preferences and needs of patients and their families in the planning and execution of care. By focusing on what is most important to the patient and their loved ones, healthcare providers can tailor their services to better meet individual needs, thus enhancing the patient’s quality of life and overall satisfaction with the care received. This approach not only supports the emotional and psychological well-being of the patient but also empowers families to make informed decisions about their loved one’s care.
• Policy and Access Expansion: There is a growing effort to expand access to palliative care, supported by policy reforms and public health initiatives. Recognizing the significant benefits of palliative care in improving life quality for patients with serious illnesses, governments and health organizations are pushing for greater availability of these services. Such initiatives aim to make palliative care more inclusive, ensuring that all individuals who require these services have timely and adequate access. This trend reflects a broader shift towards more equitable health care provisions, recognizing palliative care as a critical component of comprehensive health services.

Use Cases

• Home-Based Palliative Care: Home-based palliative programs cater to patients by managing their symptoms within the familiar confines of their homes, significantly reducing the need for hospital visits. This method emphasizes comfort and supports the comprehensive well-being of patients by providing physical, emotional, and spiritual care. By allowing patients to remain at home, these programs not only improve the quality of life but also foster a better environment for dealing with chronic conditions and terminal illnesses.
• Chronic Disease Management: The use of palliative care in chronic disease management is becoming more prevalent, particularly for conditions such as heart failure and Chronic Obstructive Pulmonary Disease (COPD). These services focus on improving life quality through meticulous symptom management and various therapeutic interventions. By addressing pain and other distressing symptoms, palliative care helps patients lead a more comfortable, fulfilling life despite their chronic conditions.
• Telepalliative Services: With the advent of telehealth technology, palliative care has expanded its reach through telepalliative services. These services provide essential care via video consultations, making it especially valuable during events like the COVID-19 pandemic. Remote consultations help maintain consistent care delivery, ensuring that patients receive timely support and guidance, thus minimizing the gap in care due to physical distancing requirements.
• Educational and Advocacy Programs: Palliative care also involves educational and advocacy efforts aimed at patients and their families. These programs are designed to offer comprehensive information about the patients’ health conditions and available care options. Empowering patients with knowledge enables them to make decisions that align with their personal values and care preferences, enhancing their control over their care journey.
• Support for Non-Traditional Needs: Modern palliative care extends beyond traditional health management to include assistance with non-medical aspects such as healthcare costs, legal planning, and connecting with community resources. These services are crucial in providing a holistic approach to patient care, addressing the broader impacts of illness on a patient’s life and easing the stress associated with navigating the complex healthcare landscape.

Conclusion

The palliative care market is poised for significant expansion, catalyzed by an aging population and an increase in chronic diseases. With the integration of palliative services into various healthcare settings and the growth of home-based and telehealth options, the market is adapting to meet the needs of a diversifying patient base. Recent corporate acquisitions and educational initiatives indicate strong investment and innovation within the sector, aiming to enhance service quality and accessibility. However, addressing the global disparity in care availability remains a crucial challenge. The ongoing focus on interdisciplinary training and policy reforms is vital for ensuring that palliative care continues to evolve as a fundamental component of holistic health services.

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