The US non-emergency medical transportation market size is projected to reach US$ 13,438.87 million by 2031 from US$ 6,588.07 million in 2023. The market is expected to register a CAGR of 9.3% during 2023–2031. The expanding role of technology in NEMT is likely to bring new trends in the market in the coming years.
Non-emergency medical transportation (NEMT) covers transport services that bring patients to and from healthcare destinations between sessions without any need for emergency medical intervention during transit. This service is intended for patients with limited mobility due to ill health or those living in areas without available transportation to access necessary health facilities. Most transportation services included under this NEMT umbrella tend to be routine doctor visits, physical therapy sessions, some minor surgeries, or appointments for dialysis treatments, as well as any other medically related events. The major factors driving the market are the increasing demand for non-emergency medical transportation, the rising aging population, and the increasing incidence of chronic conditions. Additionally, strategic initiatives by NEMT and transportation network companies are expected to create ample opportunities in the coming years.
The District of Columbia, Alabama, Arkansas, Delaware, Louisiana, Maryland, Florida, Georgia, Kentucky, South Carolina, Tennessee, Mississippi, North Carolina, Oklahoma, Texas, Virginia, and West Virginia are the states covered under South US by the US federal government.
According to the Data from the 2021 American Community Survey (ACS), over 3.5 million Texans aged 65 and older had at least one disability, and about half (49%) of all Texans aged 75 and older had a disability.. With the growing cases of disability, the demand for NEMT for the disabled population is increasing, favoring market growth.
Market players in the US are implementing inorganic growth strategies, such as partnerships and collaborations, for market expansion and growth. In June 2022, AdventHealth Gordon & AdventHealth Murray collaborated with Amtran Medical Transport to provide transportation services to patients requiring medical care in non-emergency conditions. In addition, Uber Health expanded NEMT to Texas Medicaid recipients in August 2021. Texas' nearly 4.4 million Medicaid enrollees have access to NEMT services through Uber Health.
According to the American Hospital Association, each year, ~3.6 million individuals in the US do not obtain medical care due to transportation issues (lack of vehicle access, long distances to healthcare facilities, inadequate public transportation infrastructure, and the cost of transportation). A study by UC Davis Health revealed that ~5.8 million Americans experience missed or delayed medical care each year due to transportation barriers. Transportation is a significant factor contributing to missed medical appointments. A 2019 survey by Kaiser Permanente found that one-third of Americans frequently or occasionally undergo stress due to transportation.
Since 1965, Medicaid has had a non-emergency medical transportation (NEMT) benefit, and people covered by Medicaid are provided with transportation services as an essential benefit. As per Medicaid Enrollment and Unwinding Tracker, ~94 million individuals in total were enrolled in Medicaid till April 2023. The KFF Medicaid Budget Survey anticipated an 8.2% increase in healthcare membership in 2021 in the US, primarily driven by the COVID-19 crisis and elevated unemployment rate. As more people gain access to Medicaid, there is a direct increase in demand for NEMT services. The need and demand for NEMT services increase with the increase in healthcare enrollment and eligibility.
Most of the states in the US have transitioned to deliver NEMT through NEMT brokers or managed care organizations (MCOs). In many states, the brokers or MCOs receive a per capita payment to oversee the NEMT services, while other states, including Nevada, Arizona, and Vermont, deliver NEMT on a fee-for-service basis through local service providers. The Children's Health Insurance Program (CHIP) offers health coverage to eligible children via Medicaid and separate CHIP programs. CHIP is administered by states in accordance with federal requirements and jointly funded by state and federal governments. Therefore, with an increase in such initiatives by governments, the demand for NEMT is increasing in the US, thereby driving market growth.
NEMT companies and transportation network companies (TNCs) are eager to undertake strategic actions to improve access to care. TNCs, such as Uber and Lyft, are known for their on-demand ride-hailing capabilities and user-friendly mobile apps. These features can effectively address the availability and scheduling issues related to NEMT services. Various TNCs are currently developing new platforms or are engaged in collaborations with NEMT and individual healthcare service providers across the US. Several state agencies are allowing the use of TNCs to provide NEMT services. A few examples are given below.
Such strategic initiatives focus on enhancing service efficiency, increasing patient accessibility, reducing operational costs, and ensuring better integration with healthcare services. As the NEMT sector continues to grow, these initiatives will be crucial in expanding services and improving the quality of patient care across the US.
Key segments that contributed to the derivation of the US non-emergency medical transportation market analysis are service type, facility, application, and end user.
The US non-emergency medical transportation market is a dynamic and rapidly evolving sector, primarily driven by the increasing prevalence of various diseases, expanding insurance coverage for non-emergency medical transportation (NEMT), and high state-wise reimbursement rates for these services as administrative or medical expenses. In addition, a shift toward patient-centered care, heightened awareness of NEMT, and technological advancements are a few factors supporting the market growth. Chronic illnesses, old age, disabilities, injuries, and obesity are just a few of the many reasons Americans rely on non-emergency medical transportation services. Also, the COVID-19 pandemic generated an enormous need for reliable car transportation for appointments, essential doctor visits, and daily treatments. In addition, the increase in the number of senior citizens is contributing to the growth of the non-emergency medical transportation market in the country.
The regional trends and factors influencing the US Non-Emergency Medical Transportation Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses US Non-Emergency Medical Transportation Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2023 | US$ 6,588.07 Million |
| Market Size by 2031 | US$ 13,438.87 Million |
| Global CAGR (2023 - 2031) | 9.3% |
| Historical Data | 2021-2022 |
| Forecast period | 2024-2031 |
| Segments Covered |
By Service Type
|
| Regions and Countries Covered | US
|
| Market leaders and key company profiles |
The US Non-Emergency Medical Transportation Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the US Non-Emergency Medical Transportation Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The US non-emergency medical transportation market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. A few of the developments in the US non-emergency medical transportation market are listed below:
The "US Non-Emergency Medical Transportation Market Size and Forecast (2021–2031)" report provides a detailed analysis of the market covering below areas:
The market segmentation by service type is led by private pay patient transportation segment that is growing significantly due to custom NEMT rate of reimbursements with higher margins compared to other, low-cost, and flexibility pay and less complicated billing process compared to Medicare and Medicaid services.
The market is estimated to grow with a CAGR of 9.3% from 2023 to 2031.
Key factors that are driving growth of the market are increasing demand for non-emergency medical transportation and aging population and increasing incidence of chronic conditions fuel the growth of the market.
Non-Emergency Medical Transportation (NEMT) covers transportation services offered to the patients who are not in an emergency or in need assistance getting to and from medical appointments avoiding travel which are costly. These services are most widely used by the eligible Medicaid and Medicare members.