U.S. Post-acute Care Market – By Service, By Age Group, By Condition, By End Use - Forecast, 2025 to 2034

U.S. Post-acute Care Market Size

The U.S. post-acute care market size was valued at around USD 472.9 billion in 2024 and is expected to exhibit growth at a CAGR of 6.3% from 2025 to 2034. One of the primary factors is the aging population, which is increasing demand for post-acute care services as more elderly patients require medical rehabilitation services, long-term care, and specialized recovery solutions.
 

Advances in healthcare have also enabled better survival rates for serious illnesses and surgeries, leading to a greater need for follow-up care. Additionally, healthcare policies and regulations, particularly from Medicare and Medicaid, are supporting the development of cost-effective care models to reduce hospital readmissions, which is further fueling the demand for post-acute care settings.
 

Technological advancements are transforming the post-acute care landscape, particularly with telehealth, which was valued at USD 71.9 billion in 2022, and remote patient monitoring devices, allowing more effective and accessible care outside traditional settings. Home-based care, for example, has become increasingly popular due to patient preference and advancements in home healthcare technology, positioning it as a convenient and cost-efficient option compared to institutional care.
 

Moreover, the emphasis on quality care outcomes has led to value-based care models that prioritize efficient, patient-centered care, reducing healthcare costs by preventing complications. With an increased focus on preventive healthcare and wellness programs, providers across the post-acute care sector are adopting innovative approaches to improve patient outcomes. The growth of chronic diseases, such as diabetes and heart condition, also contributes to higher demand for rehabilitative services that require ongoing care beyond initial treatment. Together, these factors make post-acute care essential in the evolving healthcare landscape, supporting its projected growth across diverse service segments.
 

Post-acute care refers to a range of medical and support services provided to individuals recovering from a severe illness, injury, or surgery. This type of care typically follows a hospital stay and focuses on recovery, rehabilitation, and the management of chronic conditions to help patients regain independence. Post-acute care services include skilled nursing facilities, inpatient rehabilitation, long-term acute care hospitals, home health care, and hospice. These services are essential for managing complex needs outside traditional hospital settings, promoting improved patient outcomes, and reducing hospital readmission rates through personalized, ongoing care.
 

U.S. Post-acute Care Market Trends

The increasing demand for convenient and accessible healthcare is a significant driver in the post-acute care market. As patients and families prioritize flexibility and efficiency in recovery settings, post-acute care services, particularly home-based and community-based care, have seen significant growth.
 

• These options allow patients to receive needed support in their own homes or nearby facilities, avoiding prolonged hospital stays and associated costs. With advancements in telemedicine, remote patient monitoring, and other health technologies, post-acute care providers can deliver high-quality services outside of traditional healthcare facilities.
   
• This trend is especially beneficial for elderly individuals and those with chronic conditions, who often require ongoing care and rehabilitation but prefer to avoid institutional settings.
   
• Additionally, the aging U.S. population is driving demand for accessible care. Older adults with limited mobility or transportation options benefit greatly from home health services and skilled nursing facilities closer to their communities. Medicare and Medicaid, recognizing this preference, have introduced policies encouraging the use of lower-cost, accessible post-acute care solutions that align with patient-centered approaches and reduce hospital readmissions.
   
• Furthermore, as patients become more informed and involved in their healthcare choices, the demand for accessible, patient-friendly options is expected to continue rising. This shift reflects broader changes in healthcare, with post-acute care at the forefront of a system focused on accessibility, convenience, and quality outcomes.
   
• Consequently, the market for these services is expected to expand as providers adapt to meet the growing demand for accessible, flexible, and efficient healthcare solutions.
   

U.S. Post-acute Care Market Analysis

Based on service, the market is segmented into skilled nursing facilities (SNF), home health agencies (HHA), inpatient rehabilitation facilities (IRF), long-term care hospitals (LTCHs), hospice care, and other services. The SNF segment is expected to expand at a CAGR of 5.5%, reaching over USD 326.1 billion by 2034.
 

• The SNF segment is anticipated to grow significantly within the market, driven by rising demand for specialized and round-the-clock care for individuals with complex medical needs.
   
• SNFs offer a unique combination of rehabilitation and long-term care services, catering to a broad spectrum of patients. This includes post-surgical recovery, chronic illness management, and intensive therapy, making SNFs a preferred option for patients requiring continuous monitoring by trained medical professionals.
   
• Growth in this segment is also bolstered by the aging population, particularly individuals with chronic conditions requiring prolonged, hands-on care that is unavailable in home-based settings or other short-term facilities.
   
• Healthcare policies and Medicare reimbursement structures further support SNFs by favoring cost-effective care solutions that reduce hospital readmissions and alleviate financial strain on the healthcare system.
   
• Additionally, SNFs have integrated advanced therapeutic and rehabilitative services, effectively bridging the gap between acute care and home-based recovery.
   

Based on age-group, the U.S. post-acute care market is categorized into elderly (65 years and older), adult (45-64 years), and other age groups. The elderly (65 years and older) segment dominated the market in 2024 with a market share of 42.6%.
 

• The elderly (65 years and older) segment is a key driver of the market, holding a dominant share due to the rapidly aging population and their complex healthcare needs.
   
• As life expectancy increases, so does the prevalence of chronic conditions such as diabetes, cardiovascular disease, and arthritis, which require ongoing management beyond acute hospital care.
   
• This age group often experiences longer recovery times, necessitating specialized, prolonged support available through skilled nursing facilities, long-term care hospitals, and home health services.
   
• Mobility limitations and cognitive impairments common in the elderly create strong demand for services that provide both medical care and daily living assistance.
   
• Government healthcare programs like Medicare play a pivotal role in supporting this segment, making post-acute care financially accessible for elderly patients who would otherwise face high out-of-pocket expenses. Medicare's coverage of services such as skilled nursing and home health further drives this segment's reliance on structured recovery and rehabilitation.
   

Based on condition, the market is segmented into neurological disorders, brain injury, amputations, spinal cord injury, wound management, emotional/behavioral health, and other conditions. The neurological disorders segment was valued at USD 100.8 billion in 2024 and is expected to grow at a 6.7% CAGR between 2025 and 2034.
 

• The neurological disorders segment holds a significant share in the market, driven by the rising prevalence of conditions such as Alzheimer’s disease, Parkinson’s disease, strokes, and multiple sclerosis.
   
• These disorders require extensive, specialized care, often beyond the capabilities of typical outpatient or home health services. Post-acute care facilities provide structured environments with advanced rehabilitation therapies, which are essential for improving functional independence in neurological patients.
   
• Specialized support, including physical, occupational, and cognitive therapies, is critical for long-term recovery and maintaining quality of life, as these patients often need sustained interventions to manage symptoms and prevent further deterioration.
   
• The cognitive impairments and mobility issues commonly associated with neurological conditions underscore the need for comprehensive, facility-based care.
   
• Additionally, the rising aging population, which is more susceptible to neurological conditions, is expected to drive demand in this segment.
   

Based on end use, the U.S. post-acute care market is categorized into hospitals, assisted living facilities, independent post-acute care centers, and home-based settings. The hospitals segment dominated the market in 2024 and is anticipated to reach USD 386.2 billion by the end of forecast period.
 

• Hospitals are equipped to manage complex cases that require advanced medical supervision and multidisciplinary care teams, such as those involving post-surgical recovery, severe injuries, or chronic conditions needing round-the-clock monitoring.
   
• Their access to state-of-the-art equipment, including advanced diagnostic tools, ensures an elevated level of care continuity for patients transitioning from acute to post-acute phases.
   
• Compared to assisted living facilities and home-based settings, hospitals cater to patients with higher acuity needs, offering specialized therapies and immediate access to critical care, if necessary.
   
• The rising prevalence of chronic conditions like cardiovascular disease and neurological disorders adds to the demand for hospital-based post-acute services, as these conditions often require ongoing management within a controlled environment.
   
• Moreover, hospital affiliations with post-acute care networks allow for a streamlined referral system, further strengthening their role in this market segment.
   

The North East post-acute care market accounted for USD 125.7 billion market revenue in 2024 and is anticipated to grow at CAGR of 5.8% between 2025 and 2034.
 

• The North East region of the U.S. is experiencing significant market growth, driven by demographic shifts, increasing demand for specialized care, and advancements in healthcare infrastructure.
   
• A large elderly population in the region contributes to a higher prevalence of chronic conditions requiring post-acute services. The area also benefits from a high concentration of hospitals, skilled nursing facilities, and rehabilitation centers, ensuring accessible and high-quality care.
   
• Additionally, healthcare policies aimed at improving care for aging populations, coupled with advancements in telemedicine, are driving the adoption of post-acute care services in the North East.
   
• The region's strong healthcare network and rising awareness of post-acute care options are expected to sustain and accelerate market growth.
   

South Atlantic post-acute care market is projected to grow remarkably in the coming years.
 

• The region's aging population, with a higher proportion of elderly individuals, is a key factor driving demand for post-acute care services for conditions such as cardiovascular disease, stroke, and neurological disorders.
   
• The rising prevalence of chronic diseases and the need for specialized care further contribute to the increasing demand for post-acute care in this region.
   
• Expansion in healthcare infrastructure, including a growing number of hospitals, rehabilitation centers, and home health services, is facilitating easier access to high-quality care and aiding post-discharge recovery.
   
• Government initiatives aimed at improving healthcare accessibility and enhancing care quality are also propelling market growth in the South Atlantic. As healthcare providers continue to refine care models, the region's post-acute care market is set for robust expansion.
   

U.S. Post-acute Care Market Share

The market is highly competitive, with key players dominating various segments such as skilled nursing facilities (SNF), home health agencies (HHA), inpatient rehabilitation facilities (IRF), and long-term care hospitals (LTCH). Major providers include Amedisys Inc., LHC Group, Inc., and Encompass Health Corporation, each contributing significantly to the market share through their expansive service networks and quality care programs. The growing demand for post-acute care, driven by aging populations and chronic health conditions, is boosting competition, with hospitals and home-based settings emerging as robust growth drivers.
 

U.S. Post-acute Care Market Companies

Some of the eminent market participants operating in the U.S. post-acute care industry include:

• Alden Network
• Amedisys
• AMITA Health
• Athena Health Care Systems
• Bella Vista Health Center
• Benchmark Senior Living
• Brookdale Senior Living
• CareCentrix
• Covenant Care
• Encompass Health
• Evernorth Health
• Focused Post Acute Care Partners
• FutureCare
• Genesis Healthcare
• Kindred Healthcare
• LHC Group
• Lincoln Square Post-Acute Care
• Mission Hills Post-Acute
• Montecito Post Acute Care and Rehabilitation
• naviHealth
• PAC Leaders
• Peninsula Post-Acute
• Post Acute Medical
• Post Acute Partners
• Santé
• SoCal Post-Acute Care
• Sonoma Post Acute
• South Bay Post Acute Care
• Spring Hills
• SYMPHONY CARE NETWORK
• Victoria Post Acute Care
• Vineyard Post Acute
• Vitas Healthcare
• Windsor Post-Acute Care Center
   

U.S. Post-acute Care Industry News:

• In October 2022, PointClickCare Technologies, a leading healthcare technology provider, launched virtual health solutions tailored for skilled nursing facilities. These solutions were designed to improve care delivery for long-term and post-acute patients by integrating advanced digital tools into care workflows. This strategic initiative underscored the company’s commitment to addressing the evolving needs of the post-acute care market while reinforcing its position as an innovator in healthcare technology.
   

U.S. post-acute care market research report includes an in-depth coverage of the industry with estimates and forecast in terms of revenue in USD Billion from 2021 to 2034 for the following segments:

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Market, By Service

• Skilled nursing facilities (SNF)
• Home health agencies (HHA)
• Inpatient rehabilitation facilities (IRF)
• Long-term care hospitals (LTCHs)
• Hospice care
• Other services

Market, By Age group

• Elderly (65 years and older)
• Adult (45-64 years)
• Other age groups

Market, By Condition

• Neurological disorders
• Brain injury
• Amputations
• Spinal cord injury
• Wound management
• Emotional/Behavioral health
• Other conditions

Market, End Use

• Hospitals
• Assisted living facilities
• Independent post-acute care centers
• Home-based settings

The above information is provided for the following zones:

• North East
• South Atlantic
• East North Central
• Pacific Central
• West South Central
• West North Central
• East South Central
• Mountain States