Rehabilitative Therapy Practices NAICS 621340
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Industry Summary
The 31,700 rehabilitative therapy practices in the US provide services to help patients restore function, improve mobility, relieve pain, and prevent or limit permanent disabilities. Rehabilitative therapy includes physical therapy, occupational therapy, speech therapy, and audiology. Practices may also provide therapy through art, music, dance, exercise and recreation.
Dependence On Referrals
While most states allow patients to have direct access to therapy services, many managed care and Medicare plans require patients to obtain a referral from a physician.
Demand Projected To Grow
The aging US population, earlier hospital discharges, and improved infant survival are projected to drive increased demand for rehabilitative therapy.
Recent Developments
Mar 18, 2026 - ACA Proposal Could Shift Costs To Enrollees
- The Trump administration’s proposed new rules for Affordable Care Act (ACA) plans would shift more health care costs to Americans in 2027, according to The New York Times. The plans would have much higher deductibles that could lead to larger medical bills. People who rely on the Affordable Care Act for their health insurance coverage could choose plans with much lower monthly premiums under the proposal but that could leave them exposed to medical expenses totaling thousands of dollars more than current ACA plans do before their insurance would kick in, according to The New York Times. The proposal would allow one kind of health plan to raise the annual deductible to more than $15,000 for an individual and $31,000 for a family. The individual deductible would be eight times the average for someone with employer-provided insurance.
- Six states have taken measures to offset the cost of Affordable Care Act (ACA) plans after a lapse in federal funding left millions of Americans facing higher premiums, according to Healthinsurance.org. California, Colorado, Connecticut, Maryland, Massachusetts, and New Mexico have increased their state-funded ACA subsidies for 2026 in response to the expiration of federal tax credits at the end of 2025. The states "modified or enhanced their programs directly to address the reduction in federal premium subsidies," said Louise Norris, a health policy analyst for Healthinsurance. Nonprofit health group KFF reports that several states, especially those operating what are known as State-Based Marketplaces, have been preparing for the lapse of ACA tax credits for months. New Mexico, for example, will fully offset the loss of the federal tax credits for all residents, including recent immigrants. Ten states offer ACA subsidies but only six have increased them since federal subsidies lapsed.
- The physical therapist workforce shortage is likely to continue through 2037, according to The American Physical Therapy Association (APTA). These shortages could significantly affect patient access to timely care without strategic interventions. "The growing demand for physical therapist services, coupled with an aging workforce, underscore the necessity for targeted interventions to expand our workforce," the APTA notes.
- Rehabilitative therapy industry employment and average wages for nonsupervisory employees increased slightly during the first 11 months of 2025, according to the US Bureau of Labor Statistics. Rehabilitative therapy practice sales are forecast to grow at a 6.08% compounded annual rate from 2025 to 2029, faster than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc.
Industry Revenue
Rehabilitative Therapy Practices
Industry Structure
Industry size & Structure
A typical rehabilitative therapy practice operates out of a single location, employs 16 workers, and generates $1.3 million annually.
- The rehabilitative therapy industry consists of 31,700 companies, employs about 493,100 workers, and generates about $41 billion annually.
- Most rehabilitative therapy practices are small, independent operations; 67% have a single location and 89% employ fewer than 20 workers.
- Large companies include Select Physical Therapy, US Physical Therapy, and Concentra.
Industry Forecast
Industry Forecast
Rehabilitative Therapy Practices Industry Growth
Source: Vertical IQ and Inforum
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