Home Healthcare Services NAICS 621610
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Industry Summary
The 28,200 home healthcare service providers in the US offer skilled nursing and other types of health-related services in the home. Major service categories include traditional home healthcare services (with or without rehabilitative services), home hospice care, home nursing care, homemaker and personal care, home infusion therapy, and the rental or lease of goods and/or equipment. Companies may specialize in a particular service, such as respiratory therapy or hospice care.
Dependence On Third Party Payers
Home healthcare services providers are dependent on third party payers, including Medicare, Medicaid, private insurance companies, and managed care organizations, as sources of revenue.
Risk Of Malpractice
The inherent risk in providing healthcare outside a traditional setting exposes companies to the risk of malpractice.
Recent Developments
Oct 2, 2025 - Expanded Access To Telehealth Care Expires
- A COVID-era federal government program that expanded access to telehealth expired on September 30, 2025. Home healthcare services that were able to provide more care due to the expansion of telehealth may be negatively impacted. The program lost funding when lawmakers failed to pass a budget plan by September 30. Budgets proposed from both sides would have continued the flexibilities through at least October or November. Restrictions on who could get telehealth services covered by Medicare were tighter before the COVID-19 pandemic. Virtual healthcare appointments were mostly reserved for beneficiaries living in rural areas, provider facilities in rural areas, or those working with certain types of providers. Some pandemic-driven changes were permanent but others rely on temporary waivers to operate. Some of these temporary allowances included the ability to use telehealth services from anywhere without geographic restrictions, to have appointments in audio-only formats, and to receive mental health and behavioral healthcare virtually without regular in-person appointments.
- Home health providers are likely to benefit from progress in the hospital-at-home (HaH) movement if Medicare waivers to treat patients in their homes are extended, according to Home Health Care News. The HaH movement has gained tremendous popularity since the launch of the Acute Hospital Care at Home (AHCAH) program in 2020, enabling hospitals to qualify for Medicare waivers to treat patients in their homes. The waiver is set to expire in September, but health systems and lawmakers have introduced legislation that would extend the waiver until 2030. A long extension and a runway for further extensions would bolster critical referrals and give providers tools to engage with value-based reimbursement arrangements, according to Home Health Care News. Patients are reportedly highly satisfied with the model, with studies showing that it hastens recovery times.
- Home health workforce shortages and rising wages are key reasons for rapidly-increasing home healthcare costs, according to Marc Cohen, co-director for the Leading Age Long Term Services and Supports Center at the University of Massachusetts-Boston. Costs for home healthcare for the elderly and bed-ridden have increased 14.2% during the 12-month period ending in March 2024, according to the US Bureau of Labor Statistics (BLS). That's the largest percent increase in home healthcare costs during a 12-month period since the BLS began collecting data on such costs in 2005. The median cost for a home health aide in 2023 was $33 an hour and that for a homemaker aide was $30 an hour, according to insurance company Genworth. The direct care sector is expected to add over 1 million new jobs by 2031, according to health care data analytics firm KFF, but those additional jobs will not be enough to meet the country’s rising eldercare needs.
- Home healthcare industry employment decreased slightly and average wages for nonsupervisory employees increased slightly during the first seven months of 2025, according to the US Bureau of Labor Statistics (BLS). Home healthcare services increased prices slightly during the first eight months of 2025, according to the BLS. Industry sales are forecast to increase at a 6.44% compounded annual rate from 2024 to 2028, faster than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc.
Industry Revenue
Home Healthcare Services
Industry Structure
Industry size & Structure
The average home healthcare services provider operates out of a single location, employs about 62 workers, and generates $4 million in annual revenue.
- The home healthcare services industry consists of about 28,200 firms that employ 1.8 million workers and generate $113.4 billion annually.
- The industry is fragmented; the top 50 firms account for 33% of industry sales.
- Large companies include Apria Healthcare, Lincare Holdings, Amedisys, and Kindred at Home (formerly Gentiva Health Services).
Industry Forecast
Industry Forecast
Home Healthcare Services Industry Growth
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