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Cost-effectiveness of financial incentives to improve glycemic control in adults with diabetes: A pilot randomized
Leonard E Egede1,2, Rebekah J Walker1,2, Clara E Dismuke-Greer3
1Division of General Internal Medicine, Department of Medicine, Medical College of Wisconsin, Milwaukee, Wisconsin, United States of America.
Insights
Financial incentives can effectively reduce HbA1c in adults with type 2 diabetes. Multi-component incentives are cost-effective, showing the least variation in achieving a 1% HbA1c reduction.
Area of Science:
- Diabetes Management
- Health Economics
- Behavioral Interventions
Background:
- Type 2 diabetes requires effective management strategies to prevent complications.
- Financial incentives are increasingly explored to improve patient adherence and clinical outcomes.
- Understanding the cost-effectiveness of different incentive structures is crucial for public health.
Purpose of the Study:
- To evaluate the cost-effectiveness of three distinct financial incentive structures.
- To determine the cost per 1% reduction in HbA1c for each incentive group.
- To assess the variability in cost-effectiveness across different incentive designs.
Main Methods:
- Randomized controlled trial involving 60 African Americans with type 2 diabetes over 3 months.
- Three incentive groups: low frequency (absolute HbA1c reduction), moderate frequency (home glucose testing and HbA1c reduction), and high frequency (home testing, education classes, and HbA1c reduction).
- Cost analysis included intervention costs, healthcare visits, and missed workdays; Incremental Cost-Effectiveness Ratios (ICER) were calculated and bootstrapped.
Main Results:
- The ICER to achieve a 1% HbA1c reduction was $1,100 across all three groups.
- Groups 2 and 3 demonstrated statistically significant cost-effectiveness (p<0.001).
- Group 1 showed twice the variation in ICER compared to Groups 2 and 3.
Conclusions:
- A cost of $1,100 per 1% HbA1c decrease is a promising figure compared to prior diabetes interventions.
- Multi-component financial incentive structures appear to be the most stable and cost-effective.
- These findings support the use of structured, multi-component incentives for diabetes management.
Purpose:
Determine the cost-effectiveness of three financial incentive structures in obtaining a 1% within group drop in HbA1c among adults with diabetes.
Methods:
60 African Americans with type 2 diabetes were randomized to one of three financial incentive structures and followed for 3-months. Group 1 (low frequency) received a single incentive for absolute HbA1c reduction, Group 2 (moderate frequency) received a two-part incentive for home testing of glucose and absolute HbA1c reduction and Group 3 (high frequency) received a multiple component incentive for home testing, attendance of weekly telephone education classes and absolute HbA1c reduction. The primary clinical outcome was HbA1c reduction within each arm at 3-months. Cost for each arm was calculated based on the cost of the intervention, cost of health care visits during the 3-month time frame, and cost of workdays missed from illness. Incremental cost effectiveness ratios (ICER) were calculated based on achieving a 1% within group drop in HbA1c and were bootstrapped with 1,000 replications.
Results:
The ICER to decrease HbA1c by 1% was $1,100 for all three arms, however, bootstrapped standard errors differed with Group 1 having twice the variation around the ICER coefficient as Groups 2 and 3. ICERs were statistically significant for Groups 2 and 3 (p<0.001) indicating they are cost effective interventions.
Conclusions:
Given ICERs of prior diabetes interventions range from $1,000-$4,000, a cost of $1,100 per 1% within group decrease in HbA1c is a promising intervention. Multi-component incentive structures seem to have the least variation in cost-effectiveness.
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