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Healthcare BPO Market to Reach USD 425.8 Billion by 2031, Growing at a CAGR of 10.2% | Surge in Outsourced RCM, Coding & Claims Processing Drives Growth

12-10-2025 10:49 AM CET | Health & Medicine

Press release from: DataM intelligence 4 Market Research LLP

Healthcare BPO Market

Healthcare BPO Market

The Global Healthcare BPO Market reached USD 200.2 billion in 2022 and is projected to grow to USD 425.8 billion by 2031, exhibiting a CAGR of 10.2% during 2024-2031. The market is expanding as healthcare organizations increasingly outsource non-core functions such as billing, coding, claims processing, revenue cycle management, and customer support to improve efficiency, reduce operational costs, and enhance service quality.

Growth is further driven by rising digital capabilities, evolving patient expectations, and rapid advancements in healthcare technology. Modern patients demand technology-enabled healthcare experiences, prompting providers to adopt digital transformation strategies and rely more on specialized BPO partners. By leveraging automation, analytics, and AI-driven workflows, healthcare BPO services support better decision-making, improved accuracy, and streamlined operations across the healthcare ecosystem.

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The Healthcare BPO Market is the sector that outsources administrative, financial, and clinical support services to external providers to enhance efficiency, reduce costs, and streamline healthcare operations.

Key Developments
✅ November 2025: Healthcare providers increased outsourcing of revenue cycle management (RCM) and medical coding to reduce administrative backlogs and strengthen reimbursement accuracy.

✅ September 2025: Major hospitals expanded adoption of AI-enabled claims processing and denial management outsourcing to accelerate claim approvals and reduce operational overhead.

✅ August 2025: Payors and insurers outsourced member-management and customer-support operations to BPO vendors as demand for omnichannel patient communication surged.

✅ June 2025: Pharmaceutical companies outsourced clinical data management and pharmacovigilance tasks to streamline drug-development timelines and ensure regulatory compliance.

Mergers & Acquisitions (M&A) & Strategic Actions
✅ November 2025: A leading global BPO provider acquired a U.S.-based healthcare coding and auditing firm to strengthen its RCM and clinical documentation capabilities.

✅ September 2025: A top healthcare IT and BPO company entered a strategic partnership with an automation-technology vendor to integrate AI-driven workflow tools into outsourced healthcare operations.

✅ July 2025: A major insurer outsourced end-to-end claims administration, coding, adjudication, and appeals, to a specialized BPO provider under a multi-year contract.

✅ June 2025: A healthcare BPO company expanded its footprint in Asia-Pacific by establishing a new delivery center focused on medical billing, coding, and patient-support services.

Key Players
HCLTech Lifesciences Limited | GeBBS Healthcare Solutions | Genpact | International Business Machines Corporation (IBM) | Parexel International Corporation | IQVIA | Sutherland Global Services | UnitedHealth Group | Cognizant Technology Solutions

Key Highlights
HCLTech Lifesciences Limited - Holds a 14.8% market share, supported by its advanced IT-enabled services, pharmacovigilance outsourcing, cloud-based healthcare platforms, and expanding global delivery centers.

GeBBS Healthcare Solutions - Holds a 12.6% market share, fueled by its strong expertise in revenue cycle management (RCM), coding, billing, and emerging AI-driven healthcare automation solutions.

Genpact - Holds a 11.7% market share, strengthened by its analytics-driven healthcare operations, payer-provider support solutions, and rising demand for digital workflow transformation.

International Business Machines Corporation (IBM) - Holds a 10.3% market share, driven by Watson Health's analytics capabilities, AI-powered decision support, and hybrid cloud platforms tailored for healthcare enterprises.

Parexel International Corporation - Holds a 9.2% market share, supported by its leadership in clinical research outsourcing, data management services, and growing adoption of decentralized clinical trial technologies.

IQVIA - Holds a 8.5% market share, fueled by its advanced real-world evidence (RWE) platforms, biostatistics capabilities, and strong demand for technology-enabled clinical and commercial outsourcing.

Sutherland Global Services - Holds a 7.1% market share, driven by its patient engagement services, healthcare BPO operations, and digital support solutions for payers and providers.

UnitedHealth Group - Holds a 5.9% market share, supported by its Optum services portfolio, data analytics, population health platforms, and comprehensive healthcare management solutions.

Cognizant Technology Solutions - Holds a 4.7% market share, backed by its healthcare IT services, claims processing solutions, and expanding digital health outsourcing capabilities.

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Market Drivers
• Increasing need for cost reduction and operational efficiency across healthcare providers and payers.

• Rising demand for outsourcing billing, coding, claims processing, and revenue cycle management (RCM) to improve accuracy.

• Growing complexity of medical coding and compliance requirements such as ICD-11 and HIPAA.

• Expansion of digital health and telemedicine increasing back-office workload and administrative tasks.

• Shortage of skilled healthcare professionals driving outsourcing of administrative and non-core functions.

• Rising focus on patient experience enhancement through outsourced customer support services.

• Growing adoption of automation, AI, and analytics in healthcare BPO workflows.

Industry Developments
• Expansion of AI-driven RCM and claims automation platforms to reduce denials and improve reimbursement timelines.

• Increased adoption of cloud-based BPO solutions for secure data management and workflow scalability.

• Growing partnerships between healthcare providers and global outsourcing firms for end-to-end RCM services.

• Introduction of advanced medical coding automation using NLP and machine learning.

• Rising investments in omnichannel patient engagement and contact center outsourcing.

• Development of integrated BPO platforms connecting payers, providers, and patients in a unified ecosystem.

• Increased focus on cybersecurity and secure data handling in outsourced healthcare operations.

Regional Insights
North America - 47% share: "Driven by high healthcare administrative costs, strong demand for RCM outsourcing, and widespread adoption of advanced automated BPO solutions."

Europe - 27% share: "Supported by growing healthcare digitalization, increasing compliance requirements, and rising outsourcing of medical billing and coding services."

Asia Pacific - 21% share: "Fueled by rapid expansion of BPO hubs in India and the Philippines, cost-efficient outsourcing models, and increasing demand from global healthcare companies."

Latin America - 3% share: "Boosted by emerging nearshore outsourcing capabilities, rising adoption of healthcare RCM services, and expanding clinical process outsourcing."

Middle East & Africa - 2% share: "Driven by growing healthcare modernization, rising demand for outsourced administrative support, and adoption of digital workflow management."

Key Segments

➥ By Provider Service
Patient Enrollment and Strategic Planning: Services supporting patient onboarding, eligibility verification, strategic care planning, and operational alignment for healthcare providers.

Revenue Cycle Management: Comprehensive solutions covering billing, coding, claims submission, reimbursement tracking, and financial performance optimization.

Patient Care Service:

Device Monitoring: Remote tracking of patient vitals and connected device data to support continuous care.

Medical Imaging: Digital imaging management, interpretation workflows, and diagnostic support.

Medical Transcription: Documentation services converting clinical audio into structured medical reports for efficient recordkeeping.

➥ By Payer Service
Provider Management: Solutions for provider credentialing, contract management, network optimization, and performance monitoring.

Human Resource Management: Tools and services supporting workforce planning, hiring, payroll, compliance, and HR operations for payer organizations.

Claims Management:

Claims Repricing: Adjusting claims based on payer contracts and allowable reimbursement rates.

Information Management Services: Data integration, record handling, and secure information exchange.

Fraud Detection and Management: Analytics-driven systems to identify anomalies, prevent fraud, and ensure regulatory compliance.

Others: Additional services enhancing claims handling efficiency and payer-provider coordination.

Care Management: Solutions for patient engagement, disease management, utilization review, and coordinated care planning.

CRM: Patient and member communication tools enabling support services, engagement tracking, and satisfaction management.

Other Payer Services: Includes analytics, reporting, compliance support, and administrative services tailored to payer operations.

➥ By Pharmaceutical Service
Research and Development: Services supporting clinical trials, drug discovery, laboratory management, data analysis, and regulatory documentation.

Manufacturing: Outsourced production, quality control, packaging, and supply chain management for pharmaceutical products.

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