According to report published by Grand View Research, The U.S. skilled nursing facility market size was estimated at $176.1 billion in 2018. The U.S. skilled nursing facility market size is expected to reach $276.8 billion by 2026, according to the report by Grand View Research, Inc.
Grand View Research provides syndicated as well as customized research reports and consulting services on 46 industries across 25 major countries worldwide. This U.S.-based market research and consulting company is registered in California and headquartered in San Francisco. Comprising over 425 analysts and consultants, the company adds 1200+ market research reports to its extensive database each year. Supported by an interactive market intelligence platform, the team at Grand View Research guides Fortune 500 companies and prominent academic institutes in comprehending the global and regional business environment and carefully identifying future opportunities.
Growing aging population with increasing care needs and rising prevalence of chronic diseases in the country will propel the need for skilled nursing facilities (SNFs). In addition, lower costs of SNF as compared to hospitals will drive the market. SNFs cover numerous aspects such as therapy, mental health services, special dietary needs, hygiene items, recreational activities, and housekeeping.
Favorable reimbursement scenario is a crucial factor propelling market growth in the country. For instance, Medicare Part A covers skilled nursing care services in essential conditions for a reduced time period. Medicare-covered services include physical therapy, occupational therapy, medical social services, medications, dietary counselling, skilled nursing care, semi-private room, meals, and ambulance transportation.
Competition in the market is very high, with major participants being Brookdale Senior Living Solutions; Genesis HealthCare; and The Ensign Group, Inc. Typical barriers in the industry for new entrants include strict regulations and licensing hassles. Furthermore, rise in the costs of utilities, food, real estate taxes, and insurance could negatively affect the market.
Key Takeaways from the report:
- By type of facility, freestanding held the maximum share in 2018 and is estimated to be the fastest growing segment in the U.S. skilled nursing facility(SNFs) market. This can be attributed to lower cost of care and increased Medicare payments
- Based on ownership, for-profit facilities dominated the market due to increased acquisition and ensuring financial viability
- Strategic initiatives undertaken by various market players are expected to help maintain its growth in the following years
- Some of the key market players are Brookdale Senior Living Solutions; Genesis HealthCare; The Ensign Group, Inc.; EXTENDICARE; Sunrise Senior Living, LLC; Life Care Services; HCR ManorCare; Golden LivingCenters; Life Care Centers of America Corporate; and SavaSeniorCare Administrative Services LLC.