Why is Global Healthcare Insurance Market Expected to Boom during 2019–2024?
One of the major factors responsible for the surge in the demand for healthcare insurance is the soaring geriatric population level across the world. As per a report published by the United Nations in 2017, called the World Population Prospects, the geriatric population is predicted to increase at a faster rate than the younger population across the world. The report also stated that there were 962 million people in the world, aged 60 years and above in 2017, and this number is predicted to rise to 1.4 billion and 2.1 billion by 2030 and 2050, respectively.
The other major factor propelling the need for healthcare insurances is the rising prevalence of chronic diseases across the globe. According to the World Health Organization (WHO), chronic diseases are amongst the leading causes of death throughout the world. Moreover, chronic diseases are expected to account for 43.0% of the total diseases in the world, by 2020. In addition to this, the rising healthcare costs in several countries are making a large number of people invest in various health insurance plans.
Due to the above-mentioned factors, the revenue generated from the global sales of various health insurance plans is expected to increase from $1.7 trillion in 2018 to $2.2 trillion by 2024. The global healthcare insurance market is predicted to exhibit a CAGR of 4.3% during the forecast period (2019–2024). Health insurance is basically a type of insurance that covers the surgical and medical expenses incurred during a person’s treatment. It can either pay the care provider directly for the treatment or it can reimburse the costs incurred during the treatment of an injury or illness.
Hence, it can be concluded that due to the rising prevalence of chronic diseases and the surging healthcare costs, the adoption of healthcare insurance plans will rise at a rapid rate throughout the world, in the coming years.
