Traveling to overseas for affordable and state-of-the-art medical care and treatment is basically termed as medical tourism. Years back, people from developing countries used to travel to highly developed countries seeking advanced and safer treatment, which was barely available in their own countries. Today, people from developed countries travel to developing countries for cost-effective medical treatments, which has slightly changed the traditional concept of medical tourism.
The medical tourism market share is predicted to rise at a CAGR of 12.4% and is expected to reach $149.34 Million till 2026. Earlier, in 2018, market was valued $58.62 Billion.
Medical tourism means when a person travels to the other country to undergo a treatment. This is usually done by the patient when the medication is more expensive in their respective country or due to the unavailability of advanced medication and machinery in their home country. Basically, medical tourism is the combination of medical treatment and travel at the same time. It means that one travels to another country for medical purposes spending a few days abroad and combines a vacation with the medical procedure.
The high cost of treatment in the home country and the availability of advanced medical facilities in the developing countries is predicted to drive the medical tourism market.
Affordability and convenience of the good medical facilities with the guidance from the tourism department is expected to drive the medical tourism industry. For instance, in the U.S the cost spend for heart surgery will be almost 80% more than the total cost spends in Asian countries. So, due to these factors, many developed countries patients are preferring to get treated in the developing nation or the nation with high medical facilities with lesser cost for the treatment; these factors are predicted to boost the global medical tourism industry.
Private healthcare is expensive and many insurance companies don’t cover the insurance. There are many circumstances the patient has to face with regards to their insurance policy and regulation. For instance, insurance may not be covered by the company if the treatments are carried out overseas; if the insurance is covered then the insurance companies don’t pay the airfare and extra expenditures. Due to reimbursement policies, patients are forced to stay at their home country and get treated which is consider to be the major restraint for the medical tourism market.
On the basis of the service type, medical tourism market size for Cosmetic segment is projected to generate a revenue of $31,063.9 million by 2026 with a CAGR of 11.9% in the forecast period. The curiosity of people to look different and change their appearance to keep themselves confident is predicted to boost the cosmetic treatment segment in the forecast period. Cancer treatment is projected to have the highest growth rate in the estimated period. The Medical tourism market share for cancer treatment is estimated to rise at a CAGR of 14.2% by generating a revenue of $7,616.6 million by 2026. The rise in occurrences of cancer worldwide is estimated to boost the cancer treatment segment. The treatment of cancer takes a lot of time, and patients prefer going outside their home country for their treatment due to better medical amenities with lesser cost. Medical tourism market forecast that cancer treatment segment in medical tourism market is going to experience a boost the in the forecasted period.
Based on the region segmentation Asia-Pacific has the highest growth rate. Asia-Pacific region is estimated to rise with a CAGR of 12.2% by generating a revenue of $54,452.9 million by 2026. The Asia-Pacific region provides all the medical amenities at a reasonable price so that the patient can afford it and can be cured. Due to the tourism friendliness and government policies with regards to tourism not being that strict, patients prefer the Asia-Pacific region to get them treated. These factors will boost the medical tourism market in this region.
The major key companies in the market are Prince Court Medical Centre, Aditya Birla Memorial hospital, KPJ Healthcare Berhad, UZ Leuven, Apollo Hospitals Enterprise Ltd, Fortis Healthcare, NTT Medical Centre, Asklepios Kliniken GmbH, Bumrungrad International Hospital, KPJ Healthcare Berhad and Asian Heart Institute among others.