Economic Burden Associated With Untreated Mental Illness in Indiana

Area of Science:

• Public Health
• Health Economics
• Mental Health Services Research

Background:

• Systematically captured data on the societal costs of untreated mental illness in the US are lacking.
• Such data are crucial for informed decision-making regarding resource allocation and policy development.
• Policymakers, clinicians, and employers need comprehensive cost data to address the impact of untreated mental illness.

Purpose of the Study:

• To estimate the comprehensive economic burden of untreated mental illness at the societal level within Indiana.
• To quantify direct non-health care, indirect, and direct health care costs associated with untreated mental illness.

Main Methods:

• A cross-sectional study design was employed using multiple data sources for Indiana residents aged 5 years and older in 2019.
• Data sources included the US National Survey on Drug Use and Health, National Survey of Children's Health, Indiana government data, and Indiana Medicaid claims.
• Analyses were conducted between January and May 2022 to tabulate annual costs.

Main Results:

• The estimated annual economic burden of untreated mental illness in Indiana was $4.2 billion (uncertainty range: $2.1 billion–$7.0 billion).
• Indirect costs constituted the largest portion, estimated at $3.3 billion (uncertainty range: $1.7 billion–$5.4 billion).
• Direct health care costs were estimated at $708.5 million and non-health care costs at $185.4 million.

Conclusions:

• Untreated mental illness imposes significant financial consequences on society.
• These findings underscore the importance of prioritizing mental health services and treatments.
• The study provides a framework for other states to assess and address the economic impact of untreated mental illness.