January 2025
The global U.S. hospital emergency department market size is calculated at USD 181.11 billion in 2025 and is forecasted to reach around USD 293.50 billion by 2034, accelerating at a CAGR of 5.48% from 2025 to 2034. The market sizing and forecasts are revenue-based (USD Million/Billion), with 2024 as the base year.
The US hospital emergency department market accounted for USD 172.15 billion in 2024 and is expected to exceed around USD 293.50 billion by 2034, growing at a CAGR of 5.48% from 2025 to 2034. The U.S. hospital emergency department market is gaining traction due to the rising demand to provide immediate care for people with sudden illnesses and injuries.
Integration of artificial intelligence and machine learning has proven to be beneficial in many ways including enhancing decision-making based on the largest amount of patient data analyses with precision and accuracy. Secondly, AI offers efficiency and speed for better productivity in the crowded and fast-paced emergency department. Several hospitals are already using AI-powered tools to optimize the process of assessing patient’s symptoms, medical history, and other relevant factors.
Lastly, machine learning algorithms are trained on historical data to predict the severity of a patient’s health and identify the current risk of deterioration, this helps the emergency department staff to manage patients proactively. Additionally, the incorporation of AI has significantly decreased human intervention in decision-making which resulted in stress, fatigue, and personal biases. Overall, AI in healthcare has improved efficiency, accuracy, workflow, and cost.
An emergency department is a hospital is a facility that is staffed 24 hours a day, 7 days a week to provide unscheduled outpatient services to patients requiring immediate attention. The U.S. hospital emergency department is evolving in response to economic, clinical and political pressures. The combination of quantitative and qualitative methods used in ED expands its demand. The U.S. Department of Health and Human Services has a growing emphasis on enhancing all Americans' health and well-being by providing effective health and human services and fostering sustainability in sciences fundamental medicine, public health, and social services.
Report Coverage | Details |
Market Size in 2025 | USD 181.11Billion |
Market Size in 2034 | USD 293.50 Billion |
Growth Rate from 2025 to 2034 | CAGR of 5.48% |
Base Year | 2024 |
Forecast Period | 2025 to 2034 |
Segments Covered | Health Condition, Insurance, and Regions |
Increasing ED visits
The rising number of hospital emergency department visits in the US is the primary driver of the US hospital emergency department market. According to the Centers for Disease Control and Prevention (CDC), there were around 155 million emergency department visits in the US in 2022. Moreover, the maximum number of emergency care services were provided during non-business hours. The high costs associated with emergency care services in the US have resulted in the increased revenue growth of the hospital emergency department market. The rising prevalence of various chronic diseases and the growing geriatric population are the most prominent factors that drive the growth of the US hospital emergency department market. According to the National Center for Health Statistics, heart diseases were the leading cause of death in the US accounting for 702,880 deaths in 2022, that is 1 in every 5 deaths. One person dies every 33 seconds from cardiovascular disease.
Poor Management
Overcrowding in the Emergency department (ED) has always been a challenge faced by hospitals worldwide. This leads to several consequences that affect both the number of resources available and the quality of care. The overcrowding directly creates a negative impact on the hospital’s performance in the ED, and reputation, and puts the staff under stress and fatigue. Overcrowding is characterized as an imbalance between supply and demand. The incoming of patients (input), the time of process and treat patients (throughput0, and the volume of patients leaving the ED (output) are the main factors contributing to overcrowding.
The doctors of emergency rooms from across the U.S. are claiming that the one federal program created to fix a crisis like overcrowding is losing funding and cannot be established.
Digital Technology
The rising adoption of digital technologies like telehealth and integration of telehealth with the latest technologies like artificial intelligence, the Internet of Things, blockchain, cloud computing, and big data is estimated to be the future of the US healthcare industry. The rising government initiatives to boost the deployment of digital and advanced technologies in hospitals are expected to significantly drive the growth of the US hospital emergency department market in the forthcoming years. Moreover, the increasing adoption of telemedicine has forced the government to introduce appropriate changes in the policies to cover telehealth-related expenses in the US.
Based on the health condition, the infectious segment accounted for over 38% of the market share and dominated the US hospital emergency department market in 2020. This segment is also expected to be the fastest-growing during the forecast period. The rising prevalence of various infectious diseases such as influenza, viral hepatitis, measles, sexually transmitted diseases (STDs), and pneumonia, which results in the surging number of emergency department visits in US is expected to drive the market growth in the forthcoming years. Furthermore, the rising prevalence of cancer, cardiovascular diseases, and respiratory diseases has increased the chances of the emergency department visits. Therefore, the growing prevalence of various non-communicable diseases coupled with the rising geriatric population is estimated to have a significant impact on the market growth during the forecast period.
The traumatic segment held the second leading position in the US hospital emergency department market in 2020. This is due to the increased number of traumatic cases in the US. According to the US CDC, around 192,176 deaths were recorded due to accidents and injuries in 2020. This number has increased by around 31.1% since 2015. Therefore, the rapid increase in these cases has resulted in the rapid growth of this segment.
Based on the insurance, the private segment dominated the US hospital emergency department market and garnered a market share of over 52% in 2020. The private insurance companies offer more advantages to the customers as compared to that of the Medicare/Medicaid. Therefore, the increased adoption of the private healthcare insurance policies has fostered the growth of the US hospital department market significantly in the past. Furthermore, the extra services and facilities provided by the private insurance companies during the emergency visits has propelled the growth of this segment.
On the other hand, the Medicare/Medicaid is estimated to be the fastest-growing segment during the forecast period. The appropriate government regulations have resulted in the improved reimbursement policies. Furthermore, the favorable regulatory changes for the reimbursement of payments related to the telehealth services is expected to foster the adoption of the Medicare/Medicaid segment in US hospital emergency department market in the forthcoming years.
Key Market Developments
The US hospital emergency department market is highly fragmented with the presence of numerous local companies. These market players are striving to gain higher market share by adopting strategies, such as investments, partnerships, and acquisitions & mergers. Companies are also spending on the development of improved products. Moreover, they are also focusing on maintaining competitive pricing.
By Health Condition
By Insurance
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