US Market Overview - Fertility and In-Vitro Fertilization
The average baby IVF costs $40,000 to $60,000 which most people pay for out-of-pocket. This has encouraged entrepreneurs and investors to define their work as healthcare democratization and increased access, all while positioning themselves for increased revenue. The driving force behind the growth of this trend is the age at which women are choosing to start their families.
Market and Statistics
- According to a Fortune Magazine article published on January 21, 2020, “Piper Sandler research puts the U.S. fertility market at $15.4 billion by 2023, up from almost $7 billion in 2017. Millennials, now the primary demographic having babies, are aging into fertility treatment and are set to reshape the space in the same ways they’ve transformed so many other parts of our economy.”
- Statistics show that pregnancy resulting from IVF is associated with an increased risk of complications when compared to naturally conceived pregnancies. For this reason, some insurance plans include in vitro fertilization (IVF), but not the associated injections sometimes necessary. Some insurance companies include minimal attempts at specific treatments. And there are plans that do not cover IVF at all. 15 states mandate fertility treatment. Out of the 15, only 5 have an IVF insurance mandate.
- The U.S. IVF Services Market was valued at $2.21 billion in 2015 and is expected to reach $4.47 billion by 2022, registering a CAGR of 10.6% from 2016 to 2022.
- Infertility affects about 6.7 million women in the U.S. and accounts for about 11% of the female population, according to the American Society for Female Medicine (ASRM).
- Increasing the attention of the key players in the United States is primarily expected to contribute to market growth. The per capita health care expenditure in the area is steadily growing, which is expected to boost growth. Increased occurrence of gynecological disorders coupled with delayed pregnancy fueling the demand in women. Besides, the increase in the number of technological advances in IVF procedures, along with the emphasis and major players' investments, is expected to provide many opportunities for future market development. Consequently, the IVF services market is expected to grow rapidly during the US forecast period.
- In 2017 there were 422 IVF related businesses in the United States.
- Much of this variance is due to the medical risks of more invasive courses of action, but much is down to costs. While many insurance plans will cover an initial consultation on fertility, coverage for further care is less common.
- Infertility was declared a disease by the American Medical Association in 2017. The association expressed hope in the overview of the decision that the new designation would encourage insurance coverage and reimbursement, and alleviate some stigmas.
- The number of individuals striving for and obtaining infertility coverage in their workplaces is rising.
- Resolve advocates and the American Society for Reproductive Medicine hope the designation of the American Medical Association will help them get states to pass laws mandating coverage of infertility.