Healthcare Equipment Rental Market Size and Share Analysis by Product (Surgical Equipment, Durable Medical Equipment, Personal/Home Care Equipment, Digital and Electronic Equipment, Storage and Transport Equipment), End User (Hospitals, Diagnostic Centers, Clinics) - Global Industry Demand Forecast to 2030

Market Overview

The healthcare equipment rental market size stood at USD 59.1 billion in 2023, and it is expected to advance at a compound annual growth rate of 5.7% during 2024–2030, to reach USD 86.8 billion by 2030.

The growth can be primarily ascribed to the increasing demand for medical instruments and growing number of hospitals and clinics offering advanced care. Moreover, the high cost of medical equipment and the tax benefits on renting it are contributing to the growth of the market. The introduction of technologically advanced products, such as sling lifts, is expected to propel healthcare equipment leasing activities further.

Improving Healthcare Infrastructure

Recently, public organizations across the world have made huge investments to upgrade the infrastructure of hospitals and their services. For instance, in 2021, the U.S.’s healthcare expenditure amounted to USD 576.9 billion, which was an increase of 7.7% from 2020. Moreover, India spends around 3% of its GDP on healthcare each year. Similarly, according to the Asia Pacific Observatory on Health Systems and Policies, China has improved its healthcare infrastructure in recent years with significant investments from the government.

Moreover, several governments have taken initiatives to focus on having disabled-friendly infrastructure in public places. In this regard, the Government of India implemented the National Policy for Persons with Disabilities, according to which, through NGOs, state governments, and national institutes, disabled persons are given several pieces of equipment, which include tricycles, orthoses & prostheses, wheelchairs, surgical footwear, instruments for activities of daily living, learning instruments, special mobility aids, assistive & alerting devices, and those suitable for persons with mental disabilities. Further, the increasing number of hospitals, clinics, and rehabilitation centers has led to the rising demand for medical equipment leasing.

Durable Medical Equipment Holds Major Share

Durable medical equipment holds the major share, of 35%, as it supports repetitive and frequent use. The increasing number of disabled and geriatric people will increase the need for mobility and other kinds of assistive instruments, which will, in turn, contribute to the growth of this category. Among these, monitoring and therapeutic instruments are expected to witness a significant gain in rental revenue over the coming years, owing to the rising demand for wireless monitoring devices for checking the vitals on a daily basis, due to the growing incidence of lifestyle-associated diseases.

In addition, durable walking aids, wheelchairs, bathroom safety devices, and beds help people manage their health at home, by minimizing the time spent in emergency rooms, hospitals, and nursing homes, which also saves money.

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Hospitals Are Largest End Users

Hospitals are the largest end users, with a share of 40%, ascribed to the improving government reforms regarding the development of advanced medical infrastructure and the rising number of patients. In the last few years, hospitals have begun to lease a range of devices, rather than wholly purchasing them. Additionally, the increasing requirement for liquefying frozen capital, along with the growing concerns about inefficient capital deployment, is boosting the demand for medical device leasing.

With the increasing healthcare expenditure and the easy accessibility and affordability of care, people are spending highly on the diagnosis and treatment of diseases. In addition, the industry is advancing because of the increasing government investments in enhancing the health of people. The large pool of patients, presence of trained professionals, and the strong finances of hospitals, which enable them to rent high-end instruments, drive healthcare equipment leasing activities.

The homecare category is expected to grow at a considerable rate over the coming years, ascribed to the booming incidence of various diseases, such as diabetes, which requires therapeutic devices, including insulin pumps. The rising requirement for home healthcare devices and geriatric care centers is one of the most-important propellers for the growth of the market in this category. The category’s advance is essentially being bolstered by the growing population of the elderly, which is especially vulnerable to diabetes and cardiac conditions.

North America Is Highest Revenue Contributor

North America had the leading position in the market, with a value of USD 29.5 billion, in 2023. This is attributed to the high demand for technologically advanced products and the existence of a large number of leasing service providers. Moreover, the rising cost of devices drives the expenditure on the purchase of the latest therapeutic apparatus, which can be solved by renting the instruments.

In North America, the U.S. holds the leading position, and it will grow with a CAGR of 5.8%, attributed to the rise in the chronic disease incidence, robust medical infrastructure, improvements in the healthcare system, increase in the demand for healthcare, and the strong foothold of key players in the country.

The increasing number of acquisitions will broaden the portfolio of the key players in the field of healthcare instrument leasing services. For instance, in September 2021, Agiliti Inc. announced a definitive agreement to acquire Sizewise, a medical equipment rental company based in the U.S., for USD 230 million. Sizewise manufactures and distributes specialist hospital beds, surfaces, patient handling equipment, and mobility equipment to over 3,000 customers in the acute and post-acute care markets.

In addition, according to the American Hospital Association, there were 6,129 hospitals in the U.S., and around 34,011,386 people were admitted to them in 2022. Moreover, the total expenses of U.S. hospitals are USD 1,213,881 million. Due to such a high number of hospitals and hospital admissions, the demand for advanced and costly healthcare instruments is rising, which is why mid-size and small hospitals are leasing them over purchasing them, due to their increasing expenses.

Therefore, the market is growing due to the rising number of partnerships and collaborations among the key players to broaden their portfolios and customer base. For instance, in March 2022, BioSig Technologies Inc. partnered with Summit Blue Capital to provide equipment leasing services.

Europe is also showing considerable growth, owing to the rising prevalence of chronic diseases, such as Huntington’s, Parkinson’s, and atherosclerosis. In addition, the rapidly growing geriatric population and proliferating availability of home healthcare services are propelling the market in Europe. The growing practice of renting medical equipment in the region is because educational institutes and research laboratories are increasing their focus on reducing their operational and procurement costs.

Surging Number of Geriatric Patients Boosts Medical Equipment Leasing Activities

Over the years, there has been a significant rise in the number of geriatric patients worldwide. According to the World Health Organization (WHO), between 2015 and 2050, the population above 60 years will increase from 12% to 22% of the total. Additionally, it is expected that in 2050, 80% of the older people will be living in low- and middle-income countries. The aging population is affected the most by mobility disorders, due to its low body strength and high risk for various orthopedic diseases, such as osteoporosis.

Hence, the surging incidence of chronic diseases in the older population leads to an increase in the number of people with disabilities, thus creating a high demand for healthcare device leasing. Additionally, aging and the changing lifestyles are the key risk factors for chronic diseases. Aged people are more likely to be affected by blood pressure, diabetes, and cardiovascular diseases, which, in turn, increases the demand for patient monitoring devices, as well as services.

Key Players in Healthcare Equipment Rental Market Are:

• Hill-Rom Holdings, Inc.
• Agiliti Inc.
• Oak Leasing Ltd.
• Koninklijke Philips N.V.
• Mizuho Leasing Co. Ltd.
• Siemens Limited
• Med One Group
• Westside Medical Supply
• Nunn’s Home Medical Equipment

Market Size Breakdown by Segment

This report offers deep insights into the healthcare equipment leasing market, with size estimation for 2017 to 2030, the major drivers, restraints, trends and opportunities, and competitor analysis.

Based on Product

• Surgical Equipment
• Durable Medical Equipment
• Personal/Home Care Equipment
• Digital and Electronic Equipment
• Storage and Transport Equipment

Based on End User

• Hospitals
• Diagnostic Centers
• Clinics

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • U.K.
  • France
  • Italy
  • Spain
• Asia-Pacific
  • Japan
  • China
  • India
  • South Korea
  • Australia
• Latin America
  • Brazil
  • Mexico
• Middle East and Africa
  •  Saudi Arabia
  • South Africa
  • U.A.E.