The U.S. hospital-at-home market was valued at USD 12 billion in 2025. This market is expected to reach USD 74 billion by 2036, growing from USD 14.2 billion in 2026, at a CAGR of 18.0% from 2026 to 2036.

Key Highlights – U.S. Hospital-at-Home Market

• The U.S. hospital-at-home market is expected to reach USD 74 billion by 2036, at a CAGR of 18.0% from 2026 to 2036.
• The Northeast is the largest regional market, led by early adopters such as Mass General Brigham and Mount Sinai, with the South and West growing rapidly.
• Medical services and care delivery is the largest component segment, followed by technology and platforms and logistics.
• Medicare is the dominant payer, reflecting the CMS Acute Hospital Care at Home waiver, while commercial and Medicaid coverage is expanding.
• As of September 2025, 419 hospitals across 147 health systems and 39 states were approved to provide acute hospital care at home, according to CMS.
• A five-year extension of the CMS waiver through September 30, 2030, signed in early 2026, resolved the investment uncertainty that had held back adoption.
• Studies show hospital-at-home delivers cost savings of around 30% to 38%, along with lower mortality and fewer ICU escalations than traditional inpatient care.
• Hospital capacity constraints, an aging population, and workforce shortages are driving health systems to adopt hospital-at-home.
• Workforce, logistics, and payer coverage beyond Medicare are the primary constraints on scaling.

U.S. Hospital-at-Home Market: Medicare Waiver Extension, Clinical Evidence, and Capacity Pressures Drive Market Growth

The U.S. hospital-at-home market comprises the delivery of acute, hospital-level care in patients' homes, together with the technology platforms, medical services, and logistics that enable it. It spans acute hospital care at home under the CMS waiver, and related post-acute and chronic care-at-home models, delivered through remote patient monitoring, telehealth, in-home clinical visits, and 24/7 virtual command centers. The market has been enabled and shaped by the CMS Acute Hospital Care at Home program, launched in 2020, which allows hospitals to provide inpatient-level care in the home with Medicare reimbursement, and it is being driven by strong clinical and cost evidence, mounting hospital capacity and workforce pressures, and an aging population that increasingly prefers to receive care at home. According to CMS, as of September 2025, 419 hospitals across 147 health systems and 39 states had been approved to provide hospital care at home, and the recent five-year extension of the waiver through September 30, 2030 has resolved the policy uncertainty that constrained investment, positioning the market for accelerated growth.

The CMS Waiver and Its Five-Year Extension Anchor the Market

The CMS Acute Hospital Care at Home waiver, and its recent five-year extension, are the foundation of the market. Launched in November 2020, the waiver allows approved hospitals to deliver acute, inpatient-level care in the home with Medicare reimbursement equivalent to inpatient care, and it has driven the growth of formal hospital-at-home programs, with 419 hospitals across 147 health systems and 39 states approved as of September 2025. For most of its history, however, the waiver was renewed only for short periods, creating uncertainty that constrained investment. The five-year extension through September 30, 2030, enacted in early 2026, resolved this uncertainty and, in the words of health system leaders, converted hospital-at-home from a fragile pilot into an investable strategy. This regulatory certainty is the single most important driver of the market, enabling health systems to commit to hospital-at-home as a permanent part of their capacity and care strategy.

Strong Clinical and Cost Evidence Drives Adoption

A growing body of strong clinical and cost evidence is driving the adoption of hospital-at-home. Studies and CMS analyses have documented cost savings of around 30% to 38% compared with traditional inpatient care, along with better clinical outcomes: one analysis found that 0.4% of hospital-at-home patients died in the hospital, compared with 3.6% of traditional inpatients, and that hospital-at-home patients had lower rates of ICU escalation, at 3.5% versus 7.9%. A CMS report concluded that hospital-at-home saves lives and money, and while evidence on readmissions is more mixed, the overall clinical case is compelling. Combined with strong patient satisfaction and preference for receiving care at home, this evidence base is increasingly persuading health systems and, gradually, payers of the value of hospital-at-home, and is a central driver of the market's growth.

Hospital Capacity, Aging Population, and Workforce Pressures Drive Demand

Mounting pressures on hospital capacity, an aging population, and workforce shortages are powerful drivers of demand for hospital-at-home. Hospitals face persistent capacity constraints, with high occupancy and boarding in emergency departments, and hospital-at-home frees inpatient beds by treating suitable patients at home, effectively expanding capacity without new construction. The aging of the population is increasing demand for acute care, particularly among older adults with chronic conditions who are well suited to and often prefer home-based care, while shortages of nurses and other clinical staff are straining traditional inpatient care and encouraging new models. Hospital-at-home addresses these pressures simultaneously, expanding effective capacity, meeting the preferences of an aging population, and using clinical staff more flexibly, making it an increasingly strategic priority for health systems.

Technology Enablement Through Remote Monitoring, Telehealth, and Command Centers

Technology enablement is essential to hospital-at-home and a key component of the market. Delivering acute care safely in the home requires continuous remote patient monitoring, telehealth for virtual clinician visits, and 24/7 virtual command centers that coordinate care, respond to alerts, and integrate in-home visits, all supported by connected devices and clinical software. Enablement companies such as Medically Home, Current Health, a Best Buy Health company, and Biofourmis provide the technology platforms and, in some cases, the services that allow health systems to stand up and operate hospital-at-home programs. The maturing of remote monitoring, telehealth, and care-coordination technology has made it possible to deliver hospital-level care in the home reliably and safely, and continued technological advance, including the use of artificial intelligence for patient selection and monitoring, is central to the scalability and growth of the market.

Health System Adoption and Commercial Models Scale the Market

The adoption of hospital-at-home by leading health systems, and the development of commercial models to support it, are scaling the market. Pioneering health systems including Mass General Brigham, Mayo Clinic, Kaiser Permanente, Cleveland Clinic, and Atrium Health have built substantial hospital-at-home programs, demonstrating the model at scale and providing evidence and experience for others. Health systems can build programs themselves or partner with specialized enablement and services companies, such as Medically Home, Contessa Health, part of Amedisys, and DispatchHealth, which combined with Medically Home in 2025, that provide technology, clinical services, and logistics. This combination of health system adoption and commercial enablement models, supported by the waiver's certainty, is driving the expansion of hospital-at-home from a small number of pioneers to a broadening base of health systems, and is central to the market's growth.

Payer Expansion and Value-Based Care Shape the Future

The expansion of payer coverage and the alignment with value-based care will shape the future size of the market. Today, Medicare is the dominant payer, through the Acute Hospital Care at Home waiver, but the long-term growth of the market depends on broader coverage: Medicare Advantage plans, commercial insurers, and state Medicaid programs. As of 2025, only 12 state Medicaid agencies paid for hospital-at-home for fee-for-service enrollees, and commercial coverage remains uneven, meaning that reimbursement lags the clinical case in many settings. At the same time, hospital-at-home aligns well with value-based care, offering lower costs and good outcomes, which supports its adoption by risk-bearing providers and payers. The extent to which commercial and Medicaid payers expand coverage, alongside Medicare, will be a key determinant of the market's long-term size and is a central dynamic to watch.

Segmental Analysis

Market by Component

By component, the market comprises medical services and care delivery, technology and platforms, and logistics and support. Medical services and care delivery, including clinical staffing, in-home nursing and physician visits, and care coordination, is the largest component, reflecting the labor-intensive nature of delivering acute care in the home. Technology and platforms, including remote patient monitoring, telehealth, and command-center software, is a critical and growing component that enables safe home-based care, provided by enablement companies. Logistics and support, including the delivery of equipment, medications, and supplies and the coordination of in-home services, is essential to operating programs. Medical services account for the largest share of value, given their labor intensity, while technology and platforms are central to enabling and scaling the model, and both are growing strongly.

Market by Care Model

By care model, the market spans acute hospital care at home, post-acute and skilled-nursing-at-home care, and chronic and palliative care at home. Acute hospital care at home, under the CMS waiver, is the core and largest segment, delivering inpatient-level care for conditions such as infections, heart failure, and respiratory illness. Post-acute and skilled-nursing-at-home care, providing recovery and rehabilitation at home following hospitalization, is a significant and growing segment, and chronic and palliative care at home addresses ongoing and end-of-life needs. Acute hospital care at home is the focus of the market and its regulatory framework, while post-acute and chronic care-at-home models are expanding the continuum of home-based care and represent important growth areas as the broader shift of care into the home continues.

Market by Payer

By payer, the market is dominated by Medicare, with commercial and Medicaid coverage expanding. Medicare, through the Acute Hospital Care at Home waiver, is the dominant payer and the basis for most hospital-at-home programs, and its five-year extension provides the reimbursement certainty that underpins the market. Commercial payers and Medicare Advantage plans are increasingly covering hospital-at-home, recognizing its cost and outcome advantages, though coverage remains uneven. Medicaid coverage is more limited, with only 12 state agencies paying for hospital-at-home for fee-for-service enrollees as of 2025. The dominance of Medicare, and the expansion of commercial and Medicaid coverage, will shape the growth of the market, with broader payer coverage a key determinant of its long-term size.

Voice of Customer

Primary interviews conducted for this study consistently emphasized that the waiver extension has unlocked investment, while workforce, logistics, and payer coverage remain the key challenges. Two representative perspectives are summarized below.

"The five-year extension changed everything for us. When the waiver was renewed only months at a time, we could not justify the investment in staffing, technology, and logistics; now that it runs through 2030, we are building hospital-at-home as a permanent part of our capacity strategy, not a pilot." — Chief medical officer, health system

"The clinical evidence is now strong enough that the debate has shifted from whether hospital-at-home works to how to scale it. The hard parts are workforce, logistics, and payer coverage beyond Medicare, because commercial and Medicaid reimbursement still lag the clinical case in many markets." — Executive, hospital-at-home platform company

Analyst Perspective

Hospital-at-home has spent five years as one of the most promising, and most precarious, ideas in American healthcare, kept alive by a Medicare waiver that was renewed only a few months at a time. In our view, the five-year extension enacted in early 2026 is the single most important development in the market's history, because it converts a fragile pilot into an investable strategy, and health systems are responding accordingly. The clinical case is, at this point, difficult to argue with: lower mortality, fewer ICU escalations, and cost savings of roughly a third are hard to ignore in a system straining under capacity and workforce shortages. But we would temper the enthusiasm with two realities. First, hospital-at-home is operationally demanding, requiring clinicians, logistics, technology, and command-center coordination that many systems find harder to build than to admire, which is why partnering with specialized enablers is common. Second, the economics still depend heavily on Medicare, and the market's long-term size will be determined less by clinical evidence than by whether commercial and Medicaid payers follow. We expect strong growth as the waiver's certainty unlocks investment, and we see the winners as those who can operationalize acute care in the home reliably, safely, and at scale.

Market by Geography

Northeast Hospital-at-Home Market

The Northeast is the largest regional market for hospital-at-home, led by early-adopting academic and integrated health systems. Massachusetts is a leader, home to Mass General Brigham, which operates one of the largest and most established hospital-at-home programs in the country, and New York hosts programs at systems including Mount Sinai. The region's concentration of large academic medical centers, high healthcare costs and capacity pressures, and supportive state policy, including Medicaid coverage in states such as Massachusetts, New York, and New Jersey, have made the Northeast a leader in hospital-at-home. The presence of pioneering programs and a strong base of health systems make the Northeast the largest and most mature regional market.

South Hospital-at-Home Market

The South is a large and fast-growing regional market, driven by major health systems and a growing, aging population. Atrium Health, part of Advocate Health, in North Carolina operates a large hospital-at-home program, and health systems across Texas, Florida, and other southern states are adopting the model, supported in some states by Medicaid coverage, including North Carolina, South Carolina, Texas, Arkansas, and Oklahoma. The region's large and aging population, growth in healthcare demand, and capacity pressures are driving strong adoption. The combination of major health system programs and favorable demographics makes the South a large and rapidly growing market for hospital-at-home.

West Hospital-at-Home Market

The West is a significant regional market, anchored by large integrated systems and supportive policy. Kaiser Permanente, a large integrated system operating across California and other western states, has been an important adopter of hospital-at-home, and Mayo Clinic operates programs in Arizona, while states such as Arizona, Oregon, and others provide Medicaid coverage. The region's integrated care models, which align well with the value-based nature of hospital-at-home, together with capacity pressures and supportive policy, drive adoption. The presence of large integrated systems and favorable policy makes the West an important and growing market.

Midwest and Other Regions Hospital-at-Home Market

The Midwest and other regions account for the remaining share of the market. The Midwest is home to major programs, including at Mayo Clinic in Minnesota and Cleveland Clinic in Ohio, and health systems across the region are adopting hospital-at-home. Adoption is broadening across the country as the waiver's certainty encourages investment and as more health systems build or partner to launch programs. This national expansion, beyond the leading regions, driven by capacity pressures, demographics, and supportive policy, is an important trend and a source of long-term growth for the market.

Competitive Landscape

The U.S. hospital-at-home market includes technology and enablement companies, clinical services providers, and the health systems that operate programs, in a still-forming and rapidly evolving landscape. Competition spans enablement companies that provide the technology and, in some cases, the services to run programs, clinical services and home-care providers, and the health systems that build and operate hospital-at-home. Participants compete on clinical and operational capability, technology, the ability to deliver acute care safely at home, scale and geographic reach, and partnerships with health systems and payers. The complexity of delivering acute care in the home and the importance of scale create advantages for experienced and well-capitalized players, while the market remains fragmented and fast-moving.

A key competitive dynamic is the consolidation and scaling of enablement and services companies and the deepening commitment of health systems following the waiver extension. Enablement and services companies including Medically Home and DispatchHealth, which combined in 2025, Contessa Health, part of Amedisys, Current Health, a Best Buy Health company, Biofourmis, Cadence, and Inbound Health are building capabilities and partnerships, while pioneering health systems such as Mass General Brigham, Mayo Clinic, Kaiser Permanente, Cleveland Clinic, and Atrium Health scale their programs. Investment, consolidation, and partnerships between enablers, health systems, and payers are shaping the market, and the emphasis on clinical quality, operational reliability, and scale is favoring companies that can help health systems deliver hospital-at-home safely and at scale.

Key Players

The key companies and organizations operating in the U.S. hospital-at-home market include:

• Medically Home
• DispatchHealth
• Contessa Health (Amedisys)
• Current Health (Best Buy Health)
• Biofourmis
• Cadence
• Inbound Health
• Vivalink
• Masimo Corporation
• Koninklijke Philips N.V.
• Mass General Brigham
• Mayo Clinic
• Kaiser Permanente
• Cleveland Clinic
• Atrium Health (Advocate Health)
• Presbyterian Healthcare Services
• Johns Hopkins Medicine
• Mount Sinai Health System