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#U.S.HEALTHCARE SYSTEM OVERVIEW SOFTWARE#

Change in payer mix: A substantial shift toward Medicare will continue, led by growth in the over-65 population of 3 percent per year projected over the next five years and continued popularity of Medicare Advantage among seniors, as reflected in the latest Centers for Medicare & Medicaid Services (CMS) enrollment data.

Going forward, a number of factors will likely influence shifts in profit pools. On the other hand, the outlook for some segments has worsened compared with our previous analysis, including general acute care and post-acute care within providers and Medicaid within payers.

These assessments generally align with our earlier article’s conclusions.

#U.S.HEALTHCARE SYSTEM OVERVIEW SOFTWARE#

Several segments can expect higher growth: Medicare Advantage within payers care settings such as ambulatory surgery centers within providers software and platforms (for example, patient engagement and clinical decision support) within HST and specialty pharmacy within pharmacy services. However, we expect improvement efforts to help the industry overcome these challenges in 2024 and beyond. The industry faces difficult conditions in 2023, primarily because of continuing high inflation rates and labor shortages. Based on updated and expanded projections, we estimate that healthcare profit pools will grow at a 4 percent CAGR from $654 billion in 2021 to $790 billion in 2026 in our previous article, we estimated a 6 percent growth from 2021 to 2025.