U.S. Physician Group Market Size, Share, Opportunities, And Trends By Number of Physician (2 to 10, 11 to 24, 25 to 50, More than 50), By Ownership (Physician-Owned, Hospital-Owned, Others), By Specialty (Primary Care, Pediatrics, OB/GYN, Ophthalmology, Orthopedics, Psychiatry, Cardiology, Dermatology, Others), And By Payor (Public Health Insurance, Private Health Insurance/Out-of-pocket), Forecasts From 2023 To 2028

The U.S. physician group market is anticipated to grow at a steady pace throughout the forecast period. Two or more physicians working together to deliver healthcare in the same setting is referred to as a group practice. They employ the same staff and distribute the profits as the committee had previously decided. Various benefits associated with group practice for physicians are a major factor for the increase in the U.S. physician group market. Moreover, the rising case of multiple health conditions in the US is further indicating the need for physician-group practice. Additionally, the healthcare expenditure and government effort to improvise the population's health is further expected to drive the U.S. physician group market.

Multiple Associated Benefits

Physician group provides various benefits for patients as well as physicians. The ability of physician groups to meet a variety of patient requirements in the community makes them crucial. Particularly handy locations where patients can go to receive a variety of care are multi-specialty physician groups. The likelihood of physician group providers having planned check-ins with their patients affords them the chance to contribute to the preservation and enhancement of population health within their communities. Moreover, it offers several benefits to physicians such as increased financial security, expanded patient outreach, expertise, training, and job security which is indicating the shift from solo practice to group practice thereby propelling the U.S. physician group market.

Increasing Healthcare Expenditure

The U.S. healthcare system is extremely strong and rising expenditure in the healthcare system is a major growth driver of the U.S. physician group market. The increasing healthcare expenditure in the US is expected to enable patients with better facilities and a rise in the adoption of physician treatments. For instance, the US healthcare expenditure in 2021 increased by 2.7% and reached $4.3 trillion which means $12,914 per person as per the CMS data. Moreover, physicians and clinical expenditure grew 5.6% to $864.6 billion in 2021 as per the same source. According to CMS, national health expenditure is estimated to grow at an average rate of 5.4% during the 2022-2031 period.

Growing Incidence of Medical Conditions

The growing cases of various medical conditions in the US are indicating the need for several types of physicians thereby propelling the US physician group market. For instance, around 130 million people were living with diabetes in the US as per the 2022 National Diabetes Statistics Report released by CDC. Moreover, according to CDC, there were 38.2 million visits to physicians’ offices with a primary diagnosis of type 2 diabetes. Other life-threatening diseases which are rising in the US are heart disease, digestive diseases, cancer, and chronic liver disease, among others. These growing cases along with the adverse effects push the demand for physicians thereby boosting the U.S. physician group market.

Aging Population

The aging population is more prone to health problems, particularly bone diseases. In old age, bones become brittle and there is a higher chance of breaking leading to more cases of osteoporosis in this age group. In 2020, there were 55.8 million Americans aged 65 and over, accounting for 16.8% of the total population according to the US Census Bureau. According to OASH, 1 in 10 US people aged 50 or above is having osteoporosis currently. The Healthy People 2030 vision by the OASH is focusing on preventing and treating osteoporosis. The pace of the aging population is faster as compared to the past. This growing older population is arising more need for united efforts to tackle several health problems thereby boosting the U.S. physician group market.

Opportunities in the Market

The rising chronic and acute disease along with the aging population indicates the need for physician group practice thereby it provides a good opportunity to launch a physician group in the US. Moreover, several benefits associated with it are shifting the sole practice to group practice in the region. According to Reuters, businesses in the US had up to $1.2 trillion in investable assets set aside as of March 2019 for upcoming healthcare-related activities which will further enhance the healthcare and thereby propel the U.S. physician group market.

Restraints in the Market

Apart from all the growth drivers, some disadvantages are contemplated to limit the U.S. physician market growth. For instance, according to PocketSense, this practice model frequently gives less freedom to choose a reward, especially if someone is a new group member. There may be a conflict in the group practice sometimes which may hamper the services. Moreover, several physicians find it difficult to maintain their groups and thus opt for hospital employment due to the reduction of cost in support services. For example, around 70% of physicians were employed by hospitals in 2021 as per the Physicians Advocacy Institute.

U.S. Physician Group Market Players

• The Permanente Medical Group comprises 23,000 physicians which are self-managed, physician-led, and prepaid medical groups. It provides world-class health care in eight states of the US from Hawaii to Maryland and the District of Columbia.
• Optum, Inc. is a major provider of medical solutions and services. Through neighborhood ambulatory care systems and physician groups, Optum Health offers direct patient care. Brigham and Women’s Hospital is Harvard Medical School's second-largest teaching hospital. It is one of the two original members of Mass General Brigham, Massachusetts' largest healthcare organization. The internal medicine medical group offers comprehensive diagnostic tests, long-term care, therapy, and health screenings.

Key Market Developments

U.S. Physician Group Market Scope:

Segmentation:

• By Number of Physician
  • 2 to 10
  • 11 to 24
  • 25 to 50
  • More than 50
• By Ownership
  • Physician-Owned
  • Hospital-Owned
  • Others
• By Specialty
  • Primary Care
  • Pediatrics
  • OB/GYN
  • Ophthalmology
  • Orthopedics
  • Psychiatry
  • Cardiology
  • Dermatology
  • Others
• By Payor
  • Public Health Insurance
  • Private Health Insurance/Out-of-pocket