Cost measurement Flashcards
is the estimation of the cost of health interventions or services in a specific context
costing
expenses incurred because of the illness
direct costs
cost of all (medical) goods and services used for the provision of healthcare which are provided by the healthcare system, and further subdivided as fixed (covering capital, labor for installation and overhead costs), semi-fixed and variable costs (labor for use or operation of device).
Healthcare costs
cost of all goods and services used for the provision of healthcare which are not directly provided by the healthcare system.
Non-Healthcare costs
covering capital, labor for installation and overhead costs
fixed
labor for use or operation of device
variable costs
the value of lost production because of reduced working time.
Indirect cost
the cost of pain and suffering associated with the treatment.
Intangible cost
sometimes known as “productivity losses.”
indirect costs
These include the costs of lost work due to absenteeism or early retirement, impaired productivity at work (sometimes known as “presenteeism”), and lost or impaired leisure activity. Indirect costs also include the costs of premature mortality.
Indirect costs
____ of pain, suffering, and grief are real, yet very difficult to measure and are often omitted from cost analyses
Intangible costs
should make clear whether average costs or marginal costs are being used in the analysis.
Assessments
considers the total (or absolute) costs and outcomes of an intervention
average cost analysis
considers how outcomes change with changes in costs (e.g., relative
to the standard of care or another comparator), which may provide more information about how to use resources efficiently.
marginal cost analysis
This perspective is similar to the healthcare payer perspective but accounts for all monetary costs of healthcare, regardless of who bears the cost.
Healthcare sector
This perspective includes only those monetary costs (e.g., treatment costs and other health service resource use associated with disease management) incurred by a (typically third party) healthcare payer (e.g., Medicare/Medicaid, British national health service, a health maintenance organization, etc.).
Healthcare payer
A key distinction between the healthcare sector and healthcare payer perspectives is that the healthcare sector perspective includes _______
patients’ out-of-pocket costs
This perspective accounts for cost components beyond those captured by the healthcare sector perspective, including patient time, patient transportation, unpaid caregiver time, and productivity loss.
Limited societal
t or f
Limited societal includes spillover impacts affecting sectors other than healthcare, such as education.
F
EXCLUDES
broader than the limited societal perspective
societal perspective
It represents the overall public interest by including all resources that could be used for other purposes.
societal perspective
The analysis accounts for cost impacts affecting at least one of these other sectors, such as the environment, education, or the justice system.
societal perspective
This designation indicates that the authors did not provide sufficient information for us to determine the type of costs or benefits included in the analysis
Not stated/could not be determined
reflects the time preference for benefits earlier rather than later; it also reflects the opportunity costs of capital, i.e., whatever returns on investment that could have been gained if resources had been invested elsewhere.
Discounting
allows comparisons involving costs and benefits that flow differently over time.
Discounting
should also correct for the effects of inflation (which is different from the time preference accounted for by discounting), such as when cost or cost-effectiveness for one year is compared to another year.
Cost analyses
Any estimate of costs, outcomes, and other variables used in a cost analysis is subject to some uncertainty.
Sensitivity analysis
should be performed to determine if plausible variations in the estimates of certain variables thought to be subject to significant uncertainty affect the results of the cost analysis.
Sensitivity analysis
core aspect of HTA which involves comparing the costs of its implementation with the health
benefits it generates, allowing for a comprehensive evaluation of resource
utilization.
assess the cost-effectiveness
Data collection methods
clinical data analysis, cost-utility analysis, patient surveys, and healthcare
provider interviews
HTA considers different categories of costs:
direct medical costs, direct non-medical costs, and indirect
costs
e.g., drugs, procedures, hospital stays
direct medical costs
e.g., patient travel, lost productivity
direct non-medical costs
e.g., societal impact on caregivers
indirect
costs
Evaluating the cost-effectiveness of a new drug compared to existing
treatments by considering factors like drug price, potential reduction in
hospital admissions, and improved quality of life.
Comparing new drug treatments
Analyzing the resource implications of a novel medical device, such as its
impact on operating room time, length of hospital stays, and associated
costs.
Assessing new medical devices
Examining the potential cost savings of preventive measures like screening
programs by considering reduced future healthcare needs.Examining the potential cost savings of preventive measures like screening
programs by considering reduced future healthcare needs.Examining the potential cost savings of preventive measures like screening
programs by considering reduced future healthcare needs.
Evaluating preventative healthcare interventions
costing process
- cost identification
- cost measurement
- valuation
deciding which resources will appear in the numerator
cost identification
measuring the physical quantities of these resources
cost measurement
process of expressing resources in monetary values
valuation
is a resource that is known to be imported, or could have been imported
(so called potentially traded goods’ ) such as medical equipment, supplies and
pharmaceuticals.
traded good
Using pre-established costs per unit of
service (e.g., cost per hospital bed day).
Standard unit costs
Detailed calculation of individual cost components
for a specific intervention.
Micro-costing
Assigning a cost to intangible benefits or societal
values that may not have a readily available market price.
Shadow pricing
