Medical Coding Market Analysis
At a CAGR of 9.45% over the forecast period (2023-2028), the size of the medical coding market is anticipated to increase from USD 20,727.07 million in 2023 to USD 32,554.93 million by 2028.
Healthcare systems all across the world were severely damaged by the COVID-19 pandemic. According to the WHO, emergency codes were triggered in February 2020 for COVID-19 diagnoses that were either confirmed or strongly suspected based on clinical or epidemiological data. Additionally, the WHO issued the international standards for certification and categorization (coding) of COVID-19 as the cause of death in seven languages in April 2020. Additionally, the Centres for Medicare and Medicaid Services (CMS) were in the lead in assisting clinicians with the medical billing and coding component of COVID-19 testing and treatment.
For instance, in March 2020, CMS published two Healthcare Common Procedure Coding System (HCPCS) codes that laboratories may use to submit claims for specific COVID-19 diagnostic tests, including those created internally in accordance with the new United States Food and Administration (USFDA) recommendations. The COVID -19 epidemic has caused a number of changes in the market under study, and these changes are anticipated to have an effect on the market over the long run. The market under study is therefore anticipated to pick up steam in the years to come.
The increasing demand for coding services, the growing demand for a universal language to decrease insurance claim fraud and misinterpretations, and the high demand for expediting hospital billing procedures are the main drivers of the market’s expansion.
The need for coding services is rising sharply. For instance, according to the American Hospital Association’s (AHA) Hospital Statistics 2022, there were about 33,356,853 admissions across all U.S. hospitals. As a result, there is a significant need for medical billers and coders in the industry under investigation, which is anticipated to drive the expansion of the medical coding market.
The need to migrate to a simpler and more practical coding and billing solution is also present. Additionally, medical coding allows for consistent recordkeeping among medical facilities. The occurrence and efficacy of therapies in a facility can be examined by administrations thanks to medical coding firms. Large medical facilities like tertiary care hospitals should pay special attention to this. It is anticipated that frequent introductions will drive the industry.
For instance, in March 2021, Athenahealth introduced the athenaOne Medical Coding Solution, an EHR coding solution that might lessen the workload associated with coding for clinicians and, as a result, lessen burnout.
But the market’s expansion is anticipated to be hampered by rules that are always changing, data security issues, and a shortage of information technology (IT) experts with the necessary skills in the healthcare industry.
Medical Coding Industry Segmentation
According to the report’s description of medical coding, this process involves converting healthcare diagnoses, procedures, services, and equipment into standard medical alphanumeric codes. Medical coding is being utilised more and more frequently in the current environment to establish accurate records of patient treatment, streamline the medical billing process, expedite payments to doctors, and pinpoint the healthcare areas that need to be prioritised.
The international classification of diseases and the healthcare common procedure code system are the classification systems used in the medical coding market. Other segments include components (in-house and outsourced), end users (hospitals, diagnostic centres, and other end users), and geography (North America, Europe, Asia-Pacific, Middle East and Africa, and South America). The research also includes projected market estimates and trends for 17 distinct nations in the world’s major geographical regions. The study provides values for the aforementioned segments in USD million.
Medical Coding Market Trends
According to our research analysts, the following significant market trends are influencing the medical coding market:
Over the Forecast Period, the International Classification of Diseases (ICD) Segment is Anticipated to Display Healthy Growth
During the projection period, the International Classification of Diseases (ICD) segment is anticipated to have a sizable share. ICD offers a universal language that enables medical practitioners anywhere to exchange standardised information. With more than 120,000 codable phrases and around 17,000 unique codes for injuries, illnesses, and causes of death, it serves as the basis for detecting global health trends and statistics. More than 1.6 million clinical occurrences can now be coded using code combinations.
The WHO maintains the ICD, which is referred to as a diagnostic tool for epidemiology, health management, and clinical purposes. Therefore, it is anticipated that the rising prevalence of chronic diseases and the developments in ICD will accelerate the growth of this market.
Medical Coding Industry Overview
The existence of numerous local and international suppliers offering a wide range of services has made the medical coding industry reasonably competitive. To increase their market presence, all of the participants are implementing various growth tactics. The Coding Network, Oracle Corporation, 3M, Nuance Communications Inc., and Optum Inc. are a few of the major companies examined in the market.
Medical Coding Market News
- Nym Health’s medical coding technology was deployed by Ochsner Health’s emergency department in April 2022 to enhance revenue cycle management.
- April 2022 marks the launch of XpertCoding thanks to an exclusive agreement between XpertDox and Urgent Care for Children USA (UC4C). It is a completely automated, turnkey system that improves medical coding effectiveness and quickens the revenue cycle at every UC4C clinic in Tennessee and Alabama.
