The total lifetime health cost savings of smoking cessation to society

BACKGROUND: Smoking cessation has major immediate and long-term health benefits. However, ex-smokers' total lifetime health costs and continuing smokers' costs remain uncompared, and hence the economic savings of smoking cessation to society have not been determined. METHODS: The economic effects of smoking cessation in a lifetime perspective have been examined by comparing the health costs of continuing smokers and ex-smokers by quantity of daily tobacco consumption, age, gender and disease group, while taking differences in life expectancy and the reductions in relative risks after cessation into account. RESULTS: The total lifetime health cost savings of smoking cessation are highest at the younger ages. Although the economic savings vary with age at quitting, gender and quantity of daily tobacco consumption, all ex-smoking men and women who quit smoking at the age of 35 to 55 years generate sizeable total lifetime cost savings. At older ages, the total lifetime health cost savings of smoking cessation are of little economic consequence to the society. The total, direct and productivity lifetime cost savings of smoking cessation in moderate smokers who quit smoking at the age of 35 years are 24,800 euros, 7600 euros, and 17,200 euros in men, and 34,100 euros, 12,200 euros, and 21,800 euros in women, respectively. CONCLUSIONS: Lifetime health cost savings of smoking cessation to society are substantial at younger ages, in terms of both direct and productivity costs.     

Incidence and costs of injuries in The Netherlands

BACKGROUND: Injuries are a major and persistent public health problem, but a comprehensive and detailed overview of the economic burden is missing. We therefore estimated the number of emergency department (ED) attendances and health care costs as a result of injury. METHODS: We estimated lifetime health care costs of injuries occurring in The Netherlands in the year 1999. Patient groups were defined that are homogeneous in terms of health service use. Health service use and costs per patient group was estimated with data from national databases and a prospective study among 5755 injury patients. RESULTS: Total health care costs due to injury in 1999 were euro 1.15 billion, or 3.7% of the total health care budget. Major cost peaks were observed among males between ages 15 and 44 due to a high incidence, and among females from age 65 onwards due to a high incidence and high costs per patient. For the age groups 0-14, 15-44, 45-64, and 65+ ED attendances per 1000 person years were 85, 85, 43, and 49, respectively, and costs per capita were euro 38, euro 59, euro 43, and euro 210, respectively. Costs per patient rise about linearly up to age 60 and about exponentially thereafter. From age 25 onwards, females have higher costs per patient than males. Hip fracture (20%), superficial injury (13%), open wounds (7%), and skull-brain injury (6%) had the highest total costs. Most costs were attributable to falls (44%) and traffic injuries (19%). CONCLUSION: Young adult males, elderly females, falls, hip fractures, and minor injuries without medical need for hospitalization account for a substantial share of health care costs.     

The costs of health damage and productivity losses attributable to cigarette smoking in Germany

Background: Smoking causes significant health damage and mayincur a significant economic burden to society. This study investigatesthe years of potential life lost, the direct medical costs andthe Indirect costs of cigarette smoking in Germany. Methods:Using the concept of attributable risks and the prevalence-basedapproach, smoking-attributable mortality and morbidity werecalculated for 1993. Neoplasms, cardiovascular diseases, respiratorydiseases, perinatal diseases and burn deaths were considered.Attributable risks stem from the literature and were processedin an epidemiological model. Costs were estimated from a societalperspective. Direct costs were mainly calculated based on routineutilization and expenditure statistics and indirect costs werecalculated according to the human capital approach. Results:Twenty-two percent of all male and 5% of all female deaths aswell as 1.5 million years of potential life lost were attributableto smoking. The costs of acute hospital care, in-patient rehabilitationcare, ambulatory care and prescribed drugs were 9.3 billionDEM, of mortality were 8.2 billion DEM and costs due to work-lossdays and early retirement were 16.4 billion DEM (discount rate3%). The total costs added up to 33.8 billion DEM, 415 DEM perinhabitant or 1,599 DEM per current smoker. Sensitivity analysesshowed that including the productivity loss of unpaid work leadsto a strong increase of indirect costs. Conclusions: This studyprovides a conservative estimate of the costs of smoking inGermany. The magnitude is considered sufficient reason to callfor stronger support of cost-effective, smoke-cessation measuresand of anti-smoking policy.     

The lifetime distribution of health care costs

OBJECTIVE: To estimate the magnitude and age distribution of lifetime health care expenditures. DATA SOURCES: Claims data on 3.75 million Blue Cross Blue Shield of Michigan members, and data from the Medicare Current Beneficiary Survey, the Medical Expenditure Panel Survey, the Michigan Mortality Database, and Michigan nursing home patient counts. DATA COLLECTION: Data were aggregated and summarized in year 2000 dollars by service, age, and gender. STUDY DESIGN: We use life table models to simulate a typical lifetime's distribution of expenditures, employing cross-sectional data on age- and sex-specific health care costs and the mortality experience of the population. We determine remaining lifetime expenditures at each age for all initial members of a birth cohort. Separately, we calculate remaining expenditures for survivors at all ages. Using cross-sectional data, the analysis holds disease incidence, medical technology, and health care prices constant, thus permitting an exclusive focus on the role of age in health care costs. PRINCIPAL FINDINGS: Per capita lifetime expenditure is USD $316,600, a third higher for females (USD $361,200) than males (USD $268,700). Two-fifths of this difference owes to women's longer life expectancy. Nearly one-third of lifetime expenditures is incurred during middle age, and nearly half during the senior years. For survivors to age 85, more than one-third of their lifetime expenditures will accrue in their remaining years. CONCLUSIONS: Given the essential demographic phenomenon of our time, the rapid aging of the population, our findings lend increased urgency to understanding and addressing the interaction between aging and health care spending.     

Health expectancy in Denmark, 1987-2000

BACKGROUND: While life expectancy quantifies average length of life, health expectancy represents the average lifetime in different health states and offers the possibility to evaluate quality of life with respect to health. The purpose of the study was to estimate changes in health expectancy in Denmark from 1987 to 2000 and to assess theories about the relation between increased total lifetime and lifetime in various health states. METHODS: Data on health status derived from the Danish Health Interview Surveys carried out in 1987, 1991, 1994 and 2000 were combined with life-table data. Expected lifetime in selfrated good health, life expectancy without longstanding illness and disabilityfree life expectancy were estimated by Sullivan's method. RESULTS: In 1987, the life expectancy of a 65-year-old man was 14.1 years, 8.9 years of which were expected to be disabilityfree. In 2000, life expectancy had increased to 15.0 years, 11.3 years of which were disabilityfree. Thus, life expectancy had increased by 0.9 years, whereas disabilityfree life expectancy had increased by 2.4 years. Among 65-year-old women, life expectancy had increased by 0.2 years and disabilityfree life expectancy by 1.1 years. Expected lifetime in selfrated good health had also improved, but the trend in life expectancy without longstanding illness went in the opposite direction, and expected lifetime with longstanding illness had increased. CONCLUSION: The recent rise in life expectancy in Denmark after many years of stagnation appears to be accompanied by generally improved health status among the elderly, but health expectancy trends depend on the health indicator chosen. KEY POINTS: Health expectancy expresses average lifetime in various states of health. The study examines changes in expected lifetime in selfrated good health, lifetime without longstanding illness and lifetime without longterm disability. Among 65-year-olds the percentage of disabilityfree life expectancy increased from 63.4% to 74.9% for men and from 55.6% to 61.0% for women between 1987 and 2000. Health status among elderly Danes has apparently improved, but secular trends in health expectancy depend on the choice of health indicator.     

Estimating lifetime medical costs from censored claims data

Claims databases consisting of routinely collected longitudinal records of medical expenditures are increasingly utilized for estimating expected medical costs of patients with a specific condition. Survival data of the patients of interest are usually highly censored, and observed expenditures are incomplete. In this study, we propose a survival‐adjusted estimator for estimating mean lifetime costs, which integrates the product of the survival function and the mean cost function over the lifetime horizon. The survival function is estimated by a new algorithm of rolling extrapolation, aided by external information of age‐ and sex‐matched referents simulated from national vital statistics. The mean cost function is estimated by a weighted average of mean expenditures of patients in a number of months prior to their death, of which the number could be determined by observed costs in their final months, and the weights depend on extrapolated hazards. We evaluate the performance of the proposed approach in comparison with that of a popular method using simulated data under various scenarios and 2 cohorts of intracerebral hemorrhage and ischemic stroke patients with a maximum follow‐up of 13 years and conclude that our new method estimates the mean lifetime costs more accurately.     

Cholecystectomy: costs and health-related quality of life: a comparison of two techniques.

BACKGROUND: Outcomes of previous health economic evaluations comparing minilaparotomy cholecystectomy and laparoscopic cholecystectomy have been inconsistent. OBJECTIVE: To compare costs for minilaparotomy cholecystectomy and laparoscopic cholecystectomy and to study changes in quality of life induced by these operations. DESIGN: Single-blind, randomized controlled trial, run from 1 March 1997 to 30 April 1999. SETTING: One university hospital and four non-university hospitals in Sweden. MAIN MEASURE: : Cost and perceived health estimation according to the global quality of life instrument EuroQol-5D. RESULTS: Of 1719 cholecystectomy patients at five centres, 724 entered the trial and were treated with minilaparotomy cholecystectomy or laparoscopic cholecystectomy, 362 in each group. Total health care costs were less for minilaparotomy cholecystectomy than for laparoscopic cholecystectomy (median values US$2428 for minilaparotomy cholecystectomy versus US$2613 or US$3006 for laparoscopic cholecystectomy with 100 operations per year and reusable trocars or 50 operations per year and disposable trocars, respectively). There was no significant difference in total costs (including costs due to loss of production) between minilaparotomy cholecystectomy and laparoscopic cholecystectomy with 100 operations per year and reusable trocars in laparoscopic cholecystectomy (US$3731 versus US$3649, respectively). However, in calculations assuming 50 operations per year and disposable trocars in laparoscopic cholecystectomy, this technique was more expensive than minilaparotomy cholecystectomy (US$4042 versus US$3731). Health-related quality of life was slightly but significantly lower for the minilaparotomy cholecystectomy group 1 week after surgery. One month and 1 year postoperatively no difference between the randomized groups was found. CONCLUSION: Total costs did not differ between minilaparotomy cholecystectomy and laparoscopic cholecystectomy with high-volume surgery and disposable trocars, whereas laparoscopic cholecystectomy was more expensive with fewer operations and disposable trocars. The gain in health-related quality of life with laparoscopic cholecystectomy compared with minilaparotomy cholecystectomy was small and of limited duration.     

The mental health residential care study: the "hidden costs" of provision

Reforms to the organization and funding of health and social care in the UK have placed new responsibilities on social and health care purchasers to undertake assessment of the accommodation and care needs of people with mental health problems who are living in the community. This responsibility is hampered by a lack of reliable or complete data on the range of services and costs associated with residential care, in particular the non-accommodation or costs which are hidden in the sense that they are often unaccounted for by individual agencies, such as the use of hospital, community and peripatetic services falling outside residential facilities core functions or budgets. Employing service use and cost data from a wider study of residential care, non-accommodation costs were calculated for a number of residential settings (both in and outside London). As a proportion of total costs of care, these ranged from below 10% in hospital settings to between 13% and 39% in community-based staffed hostels. These figures represent estimates of the cost “add-ons” required for this element of care where only accommodation costs are known. Multiple regression analyses were also undertaken to examine the possible influence of resident, facility and area characteristics on hidden costs. Resident characteristics alone explained only a small amount of the inter-resident variation in hidden costs. The inclusion of care environment, sector and locality enhanced the predictive power of the models. The relevance and interpretation of these findings are discussed.     

Health care and lost productivity costs of overweight and obesity in New Zealand

Objective: To estimate the costs of health care and lost productivity attributable to overweight and obesity in New Zealand (NZ) in 2006. Methods: A prevalence‐based approach to costing was used in which costs were calculated for all cases of disease in the year 2006. Population attributable fractions (PAFs) were calculated based on the relative risks obtained from large cohort studies and the prevalence of overweight and obesity. For each disease, the PAF was multiplied by the total health care cost. The costs of lost productivity associated with premature mortality were estimated using both the Human Capital approach (HCA) and Friction Cost approach (FCA). Results: Health care costs attributable to overweight and obesity were estimated to be NZ$624m or 4.4% of New Zealand's total health care expenditure in 2006. The costs of lost productivity using the FCA were estimated to be NZ$98m and NZ$225m using the HCA. The combined costs of health care and lost productivity using the FCA were $722m and $849m using the HCA. Conclusion: The cost burden of overweight and obesity in NZ is considerable. Implications: Policies and interventions are urgently needed to reduce the prevalence of obesity thereby decreasing these substantial costs.     

The association between health risk status and health care costs among the membership of an Australian health plan

Health promotion in Australia has developed into an accepted strategy for solving public health problems and promoting the health of its citizens. However, there are few evidence-based research studies in Australia that measure health risk status or track health changes over time with defined cost outcome measures. Those individuals with more high-risk lifestyle behaviors have been associated with higher costs compared with those with low-risk behaviors. Although intuitively it was believed that the health promotion programs had a positive impact on health behaviors and consequently on health care costs, the relationship between health risk status and health care costs had yet to be tested in the Australian population. Consequently, a verification study was initiated by the Australian Health Management Group (AHMG) to confirm that those relationships between health risks and medical costs that had been published would also hold in the Australian population using Australian private health care costs as the outcome measure. Eight health risks were defined using a Health Risk Appraisal (HRA) to determine the health risk status of participants. Consistent with previous studies, low-risk participants were associated with the lowest health care costs (377 Australian dollars) compared with medium- (484 Australian dollars) or high-risk (661 Australian dollars) participants and non-participants (438 Australian dollars). If the health care costs of those at low risk were considered as the baseline costs, excess health care costs associated with excess health risks in this population were calculated at 13.5% of total expenditures. Health risk reduction and low-risk maintenance can provide important strategies for improving/maintaining the health and well-being of the membership and for potential savings in health care costs.     

Inpatient costs and paramilitary punishment beatings in northern Ireland

BACKGROUND: Paramilitary punishment beatings are a common occurrence in Northern Ireland. Little is known about the costs such attacks impose on the health service. METHODS: Data was collected retrospectively on victims treated by Northern Ireland's regional specialist orthopaedics unit. Data related to all victims treated in the unit between January 1999 and May 2000. RESULTS: Average inpatient care costs were 2010 Pounds ($2914). There was no significant difference in these between patients who were shot and those who were beaten. CONCLUSION: Punishment beatings present a small but significant cost burden to the health service. A fuller understanding of them from a health care perspective is warranted.     

Implications for the funding of the service costs of research and evaluation in the new British NHS

The NHS reforms and creation of the UK internal market haveled to changes in funding arrangements and incentives. Similarhealth care reforms are occurring across many developed countries,though at differing rates. These reforms have potentially seriousimplications for research funding and in particular, the servicecosts of health services research. Within the new NHS framework,the incentive to fund the service costs does not automaticallyfall on any agency and the main mechanism which should cover‘excess’ service costs, the Service Increment ForTeaching and Research (SIFTR), is in its present form inadequate,being unresponsive and non-comprehensive. This can and has ledto partially funded research projects, an outcome which is notsustainable in the longer term. This paper discusses the emergingproblem and argues that a dearer definition of research costsis required, so that both service and research costs are consideredsynonymously with the whole cost of the research to fundersbeing identified and agreed at the outset. The service costsof research must most importantly now be considered to be anintegral part of the research budget. This will help ensurethat projects are adequately funded and can be carried out efficientlyto promote high quality, cost-effective care in the NHS. AnNHS Research & Development (R&D) Consultative Taskforcewas set up to review the present situation and make recommendationsfor the way forward. We hope that our elucidation of the problemand our recommendations, aid or strengthen those of the Taskforcein this current debate.     

Nicotine dependence and lifetime amount of smoking in a population sample

AIM: To determine how the age at starting smoking, any quit attempts and the single nicotine dependence criteria are related to the lifetime amount of smoking. METHODS: A population-based sample of 4075 18 to 64-year-olds drawn at random in northern Germany was used. It included 836 former and 1601 current smokers. They were interviewed face-to-face at their homes with the Composite International Diagnostic Interview which provides a nicotine dependence diagnosis (DSM-IV). Also included was the Fagerstr?m Test for Nicotine Dependence. RESULTS: The rates of smokers who started smoking at a young age, who had five or more quit attempts in the past and who fulfilled the single nicotine dependence criteria increased with the lifetime amount of tobacco smoked. CONCLUSION: Nicotine dependence may be a main impeding factor against efforts to decrease smoker rates.     

Americans' views of health care costs, access, and quality

For more than two decades, polls have shown that Americans are dissatisfied with their current health care system. However, the public's views on how to change the current system are more conflicted than often suggested by individual poll results. At the same time, Americans are both dissatisfied with the current health care system and relatively satisfied with their own health care arrangements. As a result of the conflict between these views and the public's distrust of government, there often is a wide gap between the public's support for a set of principles concerning what needs to be done about the overall problems facing the nation's health care system and their support for specific policies designed to achieve those goals.     

Ethnic segregation in Kosovo's post-war health care system

BACKGROUND: Seven years after the end of war in Kosovo, Final Status Negotiations have begun to determine the long-term political future of the province. This article provides an overview of the present situation regarding ethnic groups and their relations in Kosovo's health care system that might be helpful in preparing for the array of potential ramifications and repercussions that could arise at the conclusion of the negotiations. METHODS: A review of the literature (including grey) was performed, and 16 interviews and two focus groups with key informants were conducted in Kosovo during October and November 2004. In addition, six informal discussions were held in-person or by telephone in London. Information collected in 2004 was re-confirmed and partially updated in October and November 2005, when three additional interviews were conducted in Kosovo. RESULTS: Ongoing ethnic tensions in Kosovo, mainly between the Albanian and Serb populations, perpetuate a rigidly segregated health care system. Some other minority communities, such as the Roma, Ashkali and Egyptians, are afflicted by the double burden of getting caught up in the middle of these ethnic disputes and at the same time suffering from poverty and discrimination. CONCLUSION: While efforts have been put forward to promote peace-building within Kosovo's post-war health sector, very little progress has been achieved in fostering ethnic integration, reconciliation, cooperation or even co-existence. This failure reflects Kosovo's broader unresolved inter-ethnic problems. Final Status Negotiations are one of the last opportunities for the international community to address the problems of ethnic segregation in the province.     

Age-specific increases in health care costs

BACKGROUND: The escalating costs of health care raise questions about demographic, epidemiological and technological determinants and future projections. The objectives of this work are to describe the age pattern of health care costs, to analyse the age-specific cost changes and to project future health care costs in an ageing population. METHODS: Comprehensive cost-of-illness data for the whole Dutch population in 1988 and 1994 are compared by age and type of care. National data on all hospital admissions, nursing days and clinical interventions for the period 1988-1994 is used to describe trends in hospital care. Population forecasts are used to project the age distribution of future health care costs. RESULTS: The distribution of health care costs per capita depends strongly on age. The growth rate of per capita costs increases by age for acute care but decreases by age for long-term care. Both combined cause an average annual growth rate of 4.6%, nearly constant with age. CONCLUSIONS: Ageing will result in increasing health care demands and costs. Secular trends in acute and long-term care indicate major shifts in costs from younger to older people and from long-term to acute care.     

The costs of community care for former long-stay psychiatric hospital residents

Support for people with long-term mental health problems is gradually being relocated from hospital to community settings. One of the questions raised by the shifting locus of care concerns the cost implications. This paper describes the cost of supporting people with long-term mental health problems who have moved to the community after many years in hospital. After summarizing the national and local policy contexts, and the methodology, the paper describes the people who have moved to the community, the services they use, and the cost of community care.