by The Global Medical Coding Market is estimated to be valued at US$ 20282.64 Mn in 2023 and is expected to exhibit a CAGR of 9.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Medical coding involves converting healthcare diagnoses, procedures, medical services, and equipment into universal medical alphanumeric codes. The process is used for billing health insurance claims and statistical purposes. Accurate medical coding provides reimbursement for services, facilitates enrollment in clinical research, and determines eligibility for clinical trials.
Market key trends:
One of the major trends in the medical coding market is the transition from conventional in-house coding to outsourced coding. Several healthcare facilities are outsourcing coding operations to maximize revenue, decrease coding errors, and focus internal staff on other priorities. Prominent market players offering medical coding services include 3M Company, nThrive (Precyse Solutions LLC), and Optum Inc. Outsourcing coding allows these companies to leverage a larger pool of trained coders cost-effectively to meet seasonal workload demands. This trend has been a key driver of market revenue growth over the past few years.
SWOT Analysis
Strength: Medical coding requires specialized skills and education, which reduces hiring risks. Also, the growing healthcare sector increases demand for medical coders.
Weakness: High employee turnover rates increase recruitment and training costs. Frequent coding guideline changes require continual training and certification.
Opportunity: Rise in healthcare expenditure, aging population, and chronic diseases are driving higher medical coding needs. Automation and AI can streamline coding workflows.
Threats: Outsourcing of coding jobs to other lower-cost countries. Inaccurate coding can lead to lawsuits and non-payment of claims.
Key Takeaways
The Global Medical Coding Market Share is expected to witness high growth, exhibiting a CAGR of 9.6% over the forecast period, due to increasing healthcare expenditure worldwide. Rise in the geriatric population suffering from various chronic diseases is also expected to contribute to market growth.
Regional analysis: North America dominates the global medical coding market and is expected to continue its dominance over the forecast period. This is attributed to factors such as advances in healthcare infrastructure and rising healthcare costs in the US. Asia Pacific is expected to exhibit the highest growth rate owing to improving healthcare facilities, growing medical tourism, and increasing insurance penetration in the region.
Key players operating in the medical coding market are 3M Company, nThrive (Precyse Solutions LLC), Talix, Oracle Corporation, Optum Inc., Nuance Communications Inc., Dolbey Systems Inc., Aviacode Inc., MRA Health Information Services, The Coding Network, L.L.C, and Maxim Health Information Services, among others.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
