Pediatric Home Healthcare Market Size, Share & Trends Analysis Report By Service (Skilled Nursing Services, Personal Care Assistance, Rehabilitation Therapy Services), By Region, And Segment Forecasts, 2021 - 2028

Report Overview

The global pediatric home healthcare market size was valued at USD 37.0 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 7.8% from 2021 to 2028. The availability of advanced technologies for providing continuous care and medical assistance at home to Children with Medical Complexities (CMC) is expected to fuel market growth.

Life-sustaining pediatric home healthcare services in a comfortable environment have reduced hospital stays for infants with complex cardiac, neurological, and respiratory disorders. According to the National Survey of Children with Special Healthcare Needs, in 2016, one in every five children aged 5 to 19 requires special medical care. While the prevalence of Children with Special Healthcare Needs (CSHCN) is increasing, availability of pediatric home healthcare services improves the quality of life for these children and radically reduce their medical expense.

Furthermore, an increase in the life expectancy of premature babies due to improved medical interventions has created the demand for in-home pediatric care services. Infants born prematurely and weighing less than 1 pound usually suffer from several chronic conditions, requiring extra care from an early stage. Moreover, assistive devices and equipment such as ventilators, CPAP, gastric tubes, nebulizers, and apnea monitors have allowed infants with complex diseases to be discharged from neonatal intensive care units and continue medical assistance with pediatric nursing care at home.

The rising prevalence of chronic conditions such as cerebral palsy, congenital heart diseases, cystic fibrosis, muscular dystrophy, epilepsy, and cancer in pediatric pollution worldwide has created opportunities for key players to invest in the market. According to 2009-10 NS-CSHCN, around 5.6 million children in the U.S. required at least 5 hours of in-home medical care. Parents spend around 1.5 billion hours a year taking care of their children, which leads to an economic burden of USD 3,200 for each family.

Favorable insurance policies aid the rising demand for pediatric healthcare services. According to the American Academy of Pediatrics, home healthcare services for children such as nursing care, primary care, personal care assistance, and hospice care are covered under Medicaid. The majority of pediatric expenditure is covered by Medicaid and the remaining is covered by private insurance coverage. For instance, DJK HOME HEALTHCARE LLC- a Texas-based agency-offers various programs waivered by Medicaid such as STAR Kids, STAR Health, Respite, Community Living Assistance and Support Services (CLASS), and CSHCN.

Additionally, the COVID-19 pandemic had a mixed impact on the market for pediatric home healthcare. As the pediatric home healthcare market consists of products and services, both have different effects. COVID-19 pandemic has a positive impact on pediatric home healthcare services as healthcare facility is the best solution to meet the demands of medical treatment in the home itself at the same time the home healthcare minimize the COVID-19 pandemic by limiting the spread of the virus.

Service Insights

The rehabilitation therapy services segment dominated the market for pediatric home healthcare and held the revenue share close to 60.0% in 2020. The segment is expected to witness significant growth over the forecast period. The high probability of premature infants living with neurological and muscular deficits is expected to boost demand for rehabilitation therapy services during the forecast period. The majority of service providers are offering various rehabilitation therapies such as physical, occupational, and speech therapies for kids suffering from autism, ADD/ADHD, cerebral palsy, and muscular atrophy.

The skilled nursing services segment is also growing due to the increase in the number of children suffering from complex medical conditions such as cerebral palsy, cystic fibrosis, asthma, and epilepsy. Skilled nursing services have significantly reduced the inpatient cost of children with medical complexities. According to a study published in May 2018, the average cost of skilled nursing services amounts to USD 450 per day, whereas inpatient care amounts to USD 3,000 per day. Pediatric home care providers are facing major challenges in marinating their nursing staff to provide quality care for children with special healthcare needs. For overcoming such challenges, key players are undertaking various strategic initiatives to strengthen their capabilities. For instance, in July 2017, BAYADA Home Health Care acquired Premier Staffing Solutions. The acquisition was aimed at improving the company’s home nursing care services.

Regional Insights

North America dominated the market for pediatric home healthcare and held the largest revenue share of almost 35.0% in 2020 due to growing awareness about pediatric home-based medical services. A survey conducted on children with complex medical conditions in the U.S. exhibits that almost 500,000 infants and adolescents with special medical needs require various medical and therapeutic services in their homes. Prolonged hospital stays may significantly increase medical expenditure, whereas pediatric home-based services are cost-effective and improve the efficiency of care for patients. Thus, numerous providers in the U.S. are offering a range of services to meet this growing demand.

In Asia Pacific, the market for pediatric home healthcare is expected to exhibit lucrative growth during the forecast period. With advances in medical technologies in developing countries, the survival expectancy of premature infants and neonatal babies has significantly improved; however, these babies are at higher risk of developing physical and neurological disorders, requiring in-home pediatric care. Thus, BAYADA Home Health Care has opened several pediatric services in India, South Korea, and New Zealand.

Key Companies & Market Share Insights

Major players are undertaking various strategic initiatives such as mergers and acquisitions, collaborations, and geographical as well as service expansion to drive the market for pediatric home healthcare. For instance, in March 2017, PSA Healthcare and Epic Health Services-two leading companies collaborated to form Aveanna Healthcare LLC, one of the largest pediatric care companies.

In addition, in January 2019, Pediatric Home Service, a Pittsburgh-based company-entered into a partnership with InTandem Capital Partners, LLC, a private equity firm in the healthcare industry. This partnership is expected to expand and strengthen Pediatric Home Service’s position in the local and international markets. Some of the prominent players in the pediatric home healthcare market include:

• Aveanna Healthcare, Inc.

• DJK Home Healthcare LLC

• BAYADA Home Health Care

• Tendercare Home Health

• BrightStar Care

• Angels of Care Pediatric Home Health

• New England Home Care, Inc.

• Pediatric Home Healthcare

• Enviva Paediatric Care

• Interim Healthcare Inc.

• eKidzCare

• MGA Homecare

• At Home Healthcare

• ParaMed

Pediatric Home Healthcare Market Report Scope 

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2028. For the purpose of this study, Grand View Research has segmented the global pediatric home healthcare market report on the basis of service and region:

• Service Outlook (Revenue, USD Million, 2016 - 2028)

  • Skilled Nursing Services

  • Personal Care Assistance

  • Rehabilitation Therapy Services

• Regional Outlook (Revenue, USD Million, 2016 - 2028)

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • Germany

    • France

    • Italy

    • Spain

  • Asia Pacific

    • China

    • Japan

    • India

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa (MEA)

    • South Africa

    • Saudi Arabia

    • Kuwait