Trends Framing the Future of Home Care Businesses
With the pandemic came the realization of the need for caregivers. The long-forgotten contributions of the care providers have suddenly come to the limelight and are being given due attention, not just by common people, but also by the people in power.
President Joe Biden’s newly-announced infrastructure plan that includes $400 billion funds for home care based services is an appreciable move towards addressing the short-term and long-term needs of the caregivers. The proclamation has proposed the potential benefits that home care businesses can avail in the near future, making it a trend and the talk of the town.
Other factors changing the future of home care businesses are discussed:
- Burgeoning Baby Boomers: The rapid rise in the aging population in the US is no surprise. In 2019, about 16.5% of the American population were 65 years old or over; a figure which is expected to reach 22% by 2050. This is a significant increase from 1950 when only eight percent of the population was 65 or over – Statista Research department. It means that within just a couple of decades, older people are projected to outnumber children. This steady rise calls for the continuing need for personal and home care services to older people for the rest of their lives, thereby increasing the demand for home care based services.
- Technology-Centric Home Care Services: The shift of the home care industry from technology-oriented to technology-centric has changed the dynamics of extending care. Rather, the process of delivering care by caregivers has become simpler and easier with the use of advanced and smart home care software. The business of home care agencies was no doubt leveraging technology for better home and personal services- the pandemic has just accelerated the trend and brought the entire home-based care services into popularity.
- Use of AI in Software: The home care businesses have been empowered by the use of advanced and smart home care software. Reduction of scheduling manually, managing, tracking, and billing has enticed more people into the home care business, the credit of which goes to home care software’s innate features which has simplified activities for both the care service providers as well as home care agencies. The embedded Artificial Intelligence feature in the software has made things easier for both parties, which is also one of the biggest reasons behind shaping the future of home care industries.
- Increase in Expenditure: According to the US Census Bureau and the Centers for Medicare and Medicaid Services, the total national expenditure is expected to reach $5 billion by 2025, a major factor in the growth of the home care management agencies.
- Cutting-Edge Technology: High-tech technology and home care software is infiltrating home care. Care providers are engaging themselves in virtual care services by reminding senior citizens of their schedules. Virtual services help in building a better customer base and a deeper appreciation for the businesses. The use of home care software allows the care management agencies to operate and function without hustle – another reason for the growth of home care businesses. Embracing technology for the care continuum is the key to positive changes in the home and personal care industry.
- Filling up Empty Job Slots: The rise in the aging population has prompted the need for more individuals to enter the workforce as caregivers. As per the recent report published by Home Health Care News, 7.4 million direct care jobs will be required to be filled by 2029, with the highest amount in-home care. The support from President Biden’s administration to help home-care-based services seems to bring forth wider opportunities for the home care businesses to flourish, another major factor in framing the future of the home care business.
- Professionalize the Workforce: Caregivers, home, and personal service providers are the backbone of the country. Professionalizing the caregiver workforce will help in better positioning the home care industry. Also, a large sum of investment in this critical workforce will go a long way in stabilizing and extending care for now as well as the future.
The above trends are making the road clear and showcasing golden opportunities for home care businesses to grab and rise above the set benchmarks.
The outbreak of the COVID-19 virus has affected the entire home care industry. It has led to extensive changes in delivering services to seniors. The pandemic has also brought into the picture, the needs and the challenges of the growing aging population as well as the possible rise of the Medicaid industry by enhancing workforce as well as quality care.
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