Medical coding involves analyzing health records and assigning standardized codes for the diagnoses, procedures, medical services and equipment used. Medical coding is essential for medical billing, insurance claims, research and public health reporting.
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 4.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The key trend propelling the growth of the medical coding market is digitization of health records. As healthcare systems transition from paper-based records to electronic health records (EHRs), there is increasing adoption of coding software and outsourcing of medical coding services to manage the large volumes of digitized data. Coding software allows automated extraction of clinically relevant information from EHRs to assist coders and speed up the coding process. They also offer upcoding detection to help reduce billing errors and compliance risks. As health systems globally pursue digital transformation initiatives to improve efficiency, accessibility and lower costs, demand for medical coding solutions and services is expected to steadily rise over the forecast period.
Strength: Medical coding is a critical part of medical billing and claims processing which leads to stable demand. The growth and diversification of healthcare practices also creates the need for more medical coding specialists.
Weakness: High employee turnover rate in the medical coding industry increases training and recruitment costs. Shortage of skilled medical coders also remains a challenge.
Opportunity: Rise in healthcare expenditure globally and growth in geriatric population needing more medical care augments the need for coding services. Emerging opportunities for remote and work from home coding jobs.
Threats: New entrants offering coding services at competitive prices. Compliance to regular coding guideline changes and protocol updates require ongoing training and could raise operational expenses.
Global Medical Coding Market Size is expected to witness high growth over the forecast period of 2023 to 2030 supported by rising healthcare spending and reforms.
North America dominates the global medical coding market currently owing to well established healthcare facilities and favorable reimbursement policies driving the need for coding specialists in the region. The Asia Pacific region is expected to witness fastest growth during the forecast period supported by growing medical tourism, private healthcare facilities, and overall improvement in healthcare infrastructure in many countries.
Key players operating in the medical coding market are Accora Ltd, Antano Group, Bristol Maid, G & J Logistics Limited, Promotal, Roma Medical, and Stryker Corporation. Accurate and timely medical coding is important for healthcare providers and insurers for claims processing and adhering to compliance guidelines. The key players are focusing on partnerships, acquisitions, and product launches catering to diverse healthcare settings to strengthen their positions in this evolving market.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it