AI in Medical Coding Market Size

AI in Medical Coding Market size is evaluated at USD 3.1 billion in 2024 and is set to cross USD 16.6 billion by the end of 2037, registering more than 13.9% CAGR during the forecast period i.e., between 2025-2037. In 2025, the industry size of AI in medical coding is estimated at USD 3.5 billion.

The increased emphasis on accuracy is fueling the use of artificial intelligence (AI) in medical coding. Cutting-edge tools like robotic process automation (RPA), automated machine learning, and natural language processing (NLP) are revolutionizing the coding process by improving precision and decreasing errors. For example, in March 2023, Clinical technology startup Clinion unveiled a medical coding solution for clinical trials driven by artificial intelligence. The solution improves clinical trial medical coding speed, accuracy, and efficiency. The amount of time and effort needed for coding can be greatly decreased by using sophisticated AI algorithms, which can swiftly evaluate and comprehend enormous volumes of clinical trial data, extract pertinent information, and assign suitable codes.

Significant financial losses result from incorrect billing, false insurance claims, and misinterpretations of medical records. Medical coding software and revenue cycle management services are in higher demand as a result of the growing inefficiencies in medical billing and revenue cycle management. The AI in medical coding market for these services is anticipated to increase significantly as a result of these factors. This market is growing as a result of the ongoing attempts to digitize healthcare in the United States and the adoption of digital technologies like telemedicine, mhealth applications, revenue cycle management software, and electronic health records. For instance, in 2021, the Centers for Disease Control and Prevention estimated that 88.2% of U.S. physician offices used electronic health records.