Healthcare Identity Management Market Analysis

Healthcare Identity Management Market Analysis

To get key market trends

  Download Free Sample

Based on solution, the market is divided into IAM, authentication, verification, and access management & authorization. The verification segment is expected to reach a value of over USD 1.7 billion by 2032.
 

• The IAM is experiencing integration with cloud environments as all healthcare institutes are shifting toward the cloud. Challenges posed by hybrid cloud architectures and distribution can be addressed by the IAM with cloud. The key aspects of IAM in cloud includes Single Sign-on (SSO), identity federation, and secure access control. The flexibility and scalability offered by the cloud services are primarily fueling this trend. Additionally, the benefits are necessitating the sector to adapt to the diverse and dynamic environments. Further, Machine Learning (ML) and Artificial intelligence (AI) are infused with the IAM to cater to cybersecurity. These technologies help to detect existing threats and potential security threats and automate certain safeguarding processes. The ability to analyze data and identify the pattern is useful for detecting unauthorized activities, enhancing the IAM capabilities.
   
• Also, verification has gained importance for identity management. Hence, companies are focusing on verification of authorized user. In June 2024, Praia Health announced a partnership with CLEAR, an identity security company, to improve the identity verification procedure in its systems.
   

Based on end user, the healthcare identity management market is divided into biometric authentication, RFID and smart card, Single Sign-On (SSO), Multi-factor Authentication, and IoT authentication. The MFA segment is the fastest growing segment with a CAGR of over 9.5% between 2024 and 2032.
 

• Biometric authentication offers robust and secured authentication mechanism compared to passwords. It provides a user-friendly and seamless experience by eliminating the need to remember passcodes.
   
• The MFA is used to address the vulnerabilities associated with the reliance on passwords. Two or more factors are used for this authentication. Combination of password or token or device OTP and biometric is used for created for authentication. This complicated and layered access makes it difficult to get unauthorized access. Additionally, the MFA can be adjusted as per the security requirements of users’ behavior and environment, enhancing both security & user experience. For instance, Health Insurance Portability and Accountability Act (HIPAA) updated the security rule guidelines in May 2024, which mandated the adoption of robust MFA solutions to protect patient data.
   
• Single SSO is in trend as the clinicians carry a smaller number of devices/single device with them. The healthcare segment is adopting IT solutions for efficient operations. SSO can reduce the time required for the clinicians and other staff to log in multiple software and applications, allowing them to spend more time on patients. According to a study by The Ponemon Institute, the usage of SSO technology can reduce the time clinicians spend on the access process, and the technology has a potential to save providers around USD 2 million. Therefore, many companies are designing these systems for healthcare. For instance, in April 2024, Ping Identity launched a new SSO solution specifically designed for healthcare, featuring integrated support for EHR systems such as Epic and Cerner. 
   

Asia Pacific is the fastest-growing region in the healthcare identity management market, driven by its rapid digital transformation and expanding healthcare infrastructure. Countries, such as China, India, and Japan, are investing in mobile and cloud-based identity solutions to support their burgeoning healthcare systems. For instance, in October 2020, Shanghai Municipal People's Government launched the Healthcare Cloud app. The app requires identity authentication for appointment booking and registration, reflecting the significant push toward the adoption of identity management systems in healthcare in this region.
 

Indian government is pushing towards a unique health ID system by implementing digital identity management in healthcare. This integration of telemedicine platforms is boosting demand for secure patient identity verification. There is rising usage of biometric authentication for patient verification and access control in healthcare facilities.
 

North America, dominated the healthcare identity management market in 2023, accounting for a share of over 34.0%. In North America, HIT Policy Committee Privacy and Security Tiger Team recommended identity management in the healthcare sector. Also, electronic authentication is recommended in the guideline published by the National Institute of Standards and Technology’s (NIST). According to the guidelines, authentication should include four Levels of Assurance (LOA) defined by the Office of Management and Budget. Such government initiatives are driving the adoption of advanced IAM technologies, including biometric authentication and zero trust architectures. Additionally, there is a strong focus on cloud-based solutions and AI-driven security to manage the complexities of healthcare systems and enhance patient data protection. The U.S. leads in implementing comprehensive identity solutions across healthcare organizations.
 

The European Commission suggested enhancements in interoperability in eHealth, creating a need for patient identification system with privacy and patient safety. Nations are adapting the identity management systems according to their own rules and regulations for example UK is using the patient identifier for Identity management systems, while Netherland, Sweden, and Norway are using the national citizen identifiers for identity management system. This eHealth concept is creating a demand for identity management services.
 

South Korean healthcare institutes and solution providers are leveraging blockchain technology for secure health data management and patient identity verification. Smart health cards are being adopted for portable and secure access to medical records and identity verification. Also, the nation is experiencing increasing usage of AI-powered identity verification systems to enhance accuracy and efficiency.
 

In Latin America, the focus on healthcare identity management is growing as governments and healthcare providers work to improve healthcare access and security. The region is witnessing an increase in cloud adoption and mobile identity solutions to enhance the efficiency and reach of healthcare services. Role-based Access Control (RBAC) and MFA are implemented to secure access to healthcare systems.