Annual cost of care for Crohn's disease: a payor perspective
B G Feagan1, M G Vreeland, L R Larson
1University of Western Ontario, London, Canada.
Insights
Crohn's disease care is costly, with hospitalizations driving the majority of expenditures. New therapies could lower overall costs by preventing hospitalizations.
Area of Science:
- Gastroenterology
- Health Economics
Background:
- Crohn's disease (CD) is a chronic inflammatory bowel disease.
- Understanding the cost of care for CD is crucial for resource allocation and treatment planning.
Purpose of the Study:
- To estimate the annual cost of care for patients with Crohn's disease.
- To analyze healthcare costs based on different treatment settings and disease severity.
Main Methods:
- Analysis of a 1994 integrated claims database (10/01/94–09/30/95).
- Inclusion of patients with Crohn's-related medical claims (ICD-9 code 555).
- Stratification into three groups based on disease severity: hospitalization, chronic drug therapy, and others.
Main Results:
- 607 patients analyzed; 19% required hospitalization.
- Average annual charges were $12,417.
- Hospitalized patients incurred the highest mean charges ($37,135), accounting for a majority of total expenditures.
Conclusions:
- Crohn's disease imposes a significant financial burden.
- A small percentage of patients account for a large portion of total healthcare costs.
- New therapies aimed at preventing hospitalizations hold potential for reducing overall care costs.
Objective:
The aim of this study was to estimate the annual cost of care of patients with Crohn's disease according to treatment setting.
Methods:
Using a 1994 integrated claims database, patients with a Crohn's-related medical claim (ICD-9 code 555) from 10/01/94 to 09/30/95 were included in this analysis. These patients were stratified into three mutually exclusive disease severity groups: group 1, required hospitalization for Crohn's; group 2, required chronic glucocorticoid or immunosuppressive drug therapy for >6 months; group 3, all remaining patients. Direct charges (based on reimbursement) and utilization of resources were reported for each group.
Results:
Six-hundred-seven patients were analyzed: 117(19%) in group 1, 31(5%) in group 2, and 459(76%) in group 3. Average age of all patients was 48 years and 43% of these patients were men. Average annual charges for all patients totaled $12,417. Group I patients experienced the highest mean charges ($37,135), whereas patients in groups 2 and 3 incurred $10,033 and $6,277. Approximately 25% of patients accounted for 80% of the total charges.
Conclusions:
Crohn's disease is associated with high cost. Although a minority of Crohn's patients required hospitalization, they tended to have higher utilization and were responsible for a majority of total expenditures. New therapies have the potential to reduce overall cost of care, if they prevent Crohn's-related hospitalizations.
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