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AN ANALYSIS OF THE BURDEN OF 
SCHIZOPHRENIA AND RELATED 
SUICIDE IN AUSTRALIA 
Access Economics Report for Sane Australia 2002 
An Analysis for Cost Benefit Literature Review with 
some Updated Information
PURPOSE OF REVIEW 
• Summarise and comment on content and 
methodology of 2001 Access Economics 
report into schizophrenia and suicide 
• Update some of the information in the report 
to as recent as possible, such as graphs and 
tables 
2
WHAT IS THIS REPORT ABOUT? 
• 2001 report written for SANE 
• Specifically about schizophrenia and suicide 
• Costs is the focus of the report 
• Financial costs and effects for individuals 
• Health costs in particular 
3
Location On Web 
Sane Australia. (2002). Schizophrenia: costs: an analysis of the burden of 
schizophrenia and related suicide in Australia. An Access Economics report. 
http://www.aftercare.com.au/wp-content/uploads/2012/11/Schizophrenia-4
TOPICS 
• Overview of report (executive summary) 
• Schizophrenia and Suicide Issues 
• Prevalence and Direct Health Costs 
• Indirect Costs and Burdens 
• Conclusions 
• Methodology 
5
BRIEFLY ABOUT 
SCHIZOPHRENIA 
6
WHAT IS SCHIZOPHRENIA? 
A long-term mental disorder of a type involving a 
breakdown in the relation between thought, emotion, and 
behaviour, leading to faulty perception, inappropriate 
actions and feelings, withdrawal from reality and personal 
relationships into fantasy and delusion, and a sense of 
mental fragmentation. 7
What Comprises It (Generally) 
8
9
TOPIC 1 
OVERVIEW 
(EXECUTIVE SUMMARY) 
10
EXECUTIVE SUMMARY 
• Schizophrenia is cost 
• Direct and indirect costs are enormous 
• Real financial costs of illness - $1.85 Billion, 0.3% of 
GDP 
• $50,000 on average for each of more 37,000 Australians 
with schizophrenia 
*2001 figures 11
EXECUTIVE SUMMARY 
DIRECT COSTS 
• Direct health system costs 2001 - $661 million 
• 60% Hospital Costs 
• 22% Community Mental Health Services 
• 6% Medical Costs (GP’s and Specialists) 
• 4% Nursing Homes 
• 2% Pharmaceuticals 
12
$18,000 per person with 
schizophrenia 
1.2% of national health spending 
6 times spending on average 
Australian’s health care 
13
EXECUTIVE SUMMARY 
INDIRECT COSTS 
• Total $722 million 
• $488 million lost earnings from not being able to work 
• $94 million premature deaths 
• $88 million carer costs 
• $52 million prison, police legal costs 
14
EXECUTIVE SUMMARY 
TRANSFER COSTS 
• $190 million of lost tax revenue (patients and carers) 
• $274 million in welfare payments – mostly disability 
support pensions 
15
EXECUTIVE SUMMARY 
THE BURDEN OF DISEASE 
• 22,616 years of healthy life lost to do schizophrenia in 
2001 
• 3.323 years lost due to suicide and self-inflicted injury 
• 55% mostly males 
• 74% young people 15-34 
• 129 Australians in 2001 suicided because of it 
• 2.5 times risk of death than the average Australian 16
One-year prevalence is low (1.92 per 1000 globally 
in range of 1 to 7.5), lifetime prevalence is around 
10 per 1000 
Direct costs are likely to be underestimated for 
pharmaceuticals 
Burden of disease does not estimate suffering of 
families as they care for those with it 
Public health spending in Australia is low as 
Australians with schizophrenia are missing out on 
effective treatments 
17
EXECUTIVE SUMMARY 
COST-EFFECTIVE INTERVENTIONS THAT NEED 
INVESTMENT 
• Prevention and early intervention programs 
• Newer improved medications 
• Career education and training 
• Psychosocial rehabilitation strategies 
• Treatment of co-existing substance abuse 
• Research into causes and more effective treatments 
18
TOPIC 2 
Schizophrenia and 
Suicide 
19
SCHIZOPHRENIA – CLINICAL PICTURE 
• Diagnosis is complex based on observations of behaviours and 
one’s thinking process (DSM-IV OR ICD-10 classification) 
• Symptoms vary for every person but may be: 
 Hallucinations – Especially voices, tactile and visual 
 Delusions – False beliefs, ideas of grandiosity or persecution 
 Disordered Thinking – Abnormalities in language 
 Abnormal Affect – Depressed mood, low motivation, withdrawal 
• Onset of it is either acute (days or weeks) or insidious (gradual 
transition) 
• Onset is earlier in males especially in 20’s, females early 30’s 
20
According to ICD-10 criteria*: 
1.53.8% of people with psychoses had schizophrenia 
2.10.8% Schizoaffective Disorder 
3.11.8% Bi Polar and/or mania 
4.8.4% depressive psychosis 
5.15.3% other psychosis 
SCHIZOPHRENIA IS THE MOST COMMON TYPE OF 
PSYCHOSIS, REPRESENTING OVER HALF OF ALL 
PSYCHOTIC PATIENTS. 
21 * International Statistical Classification of Diseases and Related Health Problems (ICD)
SCHIZOPHRENIA – CLINICAL PICTURE 
Aetiology (Cause/s of Disease) 
• It is a group of brain disorders 
• Strong evidence that genetic and environmental factors 
impact on early brain development leading to an 
increased risk of development of it 
22
SCHIZOPHRENIA – CLINICAL PICTURE - FACTORS 
• Heredity/Genetics 
• Physical Abnormality of the Brain 
• Chemical Imbalance 
• Environment 
• Note: it is not considered a stress-related illness but 
stressful life events and use of drugs can precipitate a 
psychotic episode or first onset of it 
23
SCHIZOPHRENIA – CLINICAL PICTURE – ILLNESS 
PROGRESSION 
• 45% of patients have complete or partial recovery after 
one or more episodes 
• 20% poor outcomes and 35% varying degrees of 
remission and exacerbation 
• World Health Organisation based categories 
24
SCHIZOPHRENIA – MORBIDITY 
• Disability is experienced by those with it 
• Self-care is particularly of concern especially hygiene 
• 30% in Low Prevalence Disorders Study (LPDS) 
suffered impairment with 3.6% self-neglect 
• Occupational performance – study, housework, 
employment) is largely affected 
25 
Morbidity - refers to the state of being diseased or unhealthy within a population.
SCHIZOPHRENIA – MORBIDITY – WORK AND 
EDUCATIONAL LIMITATIONS, SOCIAL-ECONOMIC 
DISADVANTAGE 
• People with schizophrenia are socio-economically 
disadvantaged with over 70% of people with psychosis in 
Australia not working at all 
• Nearly half have no school or tertiary education 
• People with schizophrenia who had employment 
experience high rates of losing it with 53% had lost 
nearly 15% of their work-weeks during the due due to 
illness-related absence 
26
SCHIZOPHRENIA – MORBIDITY – SOCIAL STIGMA 
• This is referred to as social mistreatment 
• Many forms with de-stigmatizing psychotic illness as a 
challenge 
• Includes negative labelling, pejorative language 
• Barriers to housing, employment, social services, social 
interactions, friendships with lower self-esteem and 
reluctance to obtain treatment 
27
SCHIZOPHRENIA – MORBIDITY – SOCIAL ISOLATION 
• Tend to want to be isolated 
• 31% live alone 
• 59% have an impaired ability to socialise 
• 35% have no face-to-face contact with close relative 
• 39% have no ‘best’ friend, 12% no friends at all, 64% 
single 
28
SCHIZOPHRENIA – VIOLENCE AND CRIMINALITY 
• Rate of violence can be more if substance abuse or 
previous criminal activity are present 
• Medications being discontinued is also a risk 
• More people in the prison system worldwide of those 
with psychotic illness – 3.7% males, 4.0% females 
• Also those with schizophrenia more likely to be victims of 
crime 
29
SCHIZOPHRENIA – CO-MORBIDITIES 
• Higher risk of other mental illnesses – 25%-30% chance 
of clinical depression 
• More anxiety, paranoia of being attacked due to 
persecutory delusions or worry about having an episode 
• Can also be prone to physical disorders due to 
unhealthier lifestyles and effects of anti-psychotic drugs 
30
SCHIZOPHRENIA – OTHER ISSUES AND HIGH RISK OF 
MORTALITY 
• Substance abuse – Alcohol (30%), and/or Drugs (25%) 
• Makes symptoms worse and treatment plans become 
ineffective 
• Lifetime diagnosis of alcohol and drug abuse is higher 
than the general population 
• Smoking is a common form of substance abuse with a 
risk of associated health issues, one study suggests 
80% of people with schizophrenia smoke 
31
SUICIDE ISSUES 
• The World Health Organisation (WHO) calculates 
lifetime risk of suicide for people with schizophrenia as 
10-13%, 12 times population risk 
• Higher in men 20%, women 17% 
32
SCHIZOPHRENIA – MORBIDITY 
33
SCHIZOPHRENIA – MORBIDITY 
34
SCHIZOPHRENIA – MORBIDITY 
35
SCHIZOPHRENIA – MORBIDITY 
36
SCHIZOPHRENIA – MORBIDITY 
37
SCHIZOPHRENIA – MORBIDITY 
38
SCHIZOPHRENIA – MORBIDITY 
39
SCHIZOPHRENIA – MORBIDITY 
40

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An analysis of the burden of schizophrenia v1

  • 1. AN ANALYSIS OF THE BURDEN OF SCHIZOPHRENIA AND RELATED SUICIDE IN AUSTRALIA Access Economics Report for Sane Australia 2002 An Analysis for Cost Benefit Literature Review with some Updated Information
  • 2. PURPOSE OF REVIEW • Summarise and comment on content and methodology of 2001 Access Economics report into schizophrenia and suicide • Update some of the information in the report to as recent as possible, such as graphs and tables 2
  • 3. WHAT IS THIS REPORT ABOUT? • 2001 report written for SANE • Specifically about schizophrenia and suicide • Costs is the focus of the report • Financial costs and effects for individuals • Health costs in particular 3
  • 4. Location On Web Sane Australia. (2002). Schizophrenia: costs: an analysis of the burden of schizophrenia and related suicide in Australia. An Access Economics report. http://www.aftercare.com.au/wp-content/uploads/2012/11/Schizophrenia-4
  • 5. TOPICS • Overview of report (executive summary) • Schizophrenia and Suicide Issues • Prevalence and Direct Health Costs • Indirect Costs and Burdens • Conclusions • Methodology 5
  • 7. WHAT IS SCHIZOPHRENIA? A long-term mental disorder of a type involving a breakdown in the relation between thought, emotion, and behaviour, leading to faulty perception, inappropriate actions and feelings, withdrawal from reality and personal relationships into fantasy and delusion, and a sense of mental fragmentation. 7
  • 8. What Comprises It (Generally) 8
  • 9. 9
  • 10. TOPIC 1 OVERVIEW (EXECUTIVE SUMMARY) 10
  • 11. EXECUTIVE SUMMARY • Schizophrenia is cost • Direct and indirect costs are enormous • Real financial costs of illness - $1.85 Billion, 0.3% of GDP • $50,000 on average for each of more 37,000 Australians with schizophrenia *2001 figures 11
  • 12. EXECUTIVE SUMMARY DIRECT COSTS • Direct health system costs 2001 - $661 million • 60% Hospital Costs • 22% Community Mental Health Services • 6% Medical Costs (GP’s and Specialists) • 4% Nursing Homes • 2% Pharmaceuticals 12
  • 13. $18,000 per person with schizophrenia 1.2% of national health spending 6 times spending on average Australian’s health care 13
  • 14. EXECUTIVE SUMMARY INDIRECT COSTS • Total $722 million • $488 million lost earnings from not being able to work • $94 million premature deaths • $88 million carer costs • $52 million prison, police legal costs 14
  • 15. EXECUTIVE SUMMARY TRANSFER COSTS • $190 million of lost tax revenue (patients and carers) • $274 million in welfare payments – mostly disability support pensions 15
  • 16. EXECUTIVE SUMMARY THE BURDEN OF DISEASE • 22,616 years of healthy life lost to do schizophrenia in 2001 • 3.323 years lost due to suicide and self-inflicted injury • 55% mostly males • 74% young people 15-34 • 129 Australians in 2001 suicided because of it • 2.5 times risk of death than the average Australian 16
  • 17. One-year prevalence is low (1.92 per 1000 globally in range of 1 to 7.5), lifetime prevalence is around 10 per 1000 Direct costs are likely to be underestimated for pharmaceuticals Burden of disease does not estimate suffering of families as they care for those with it Public health spending in Australia is low as Australians with schizophrenia are missing out on effective treatments 17
  • 18. EXECUTIVE SUMMARY COST-EFFECTIVE INTERVENTIONS THAT NEED INVESTMENT • Prevention and early intervention programs • Newer improved medications • Career education and training • Psychosocial rehabilitation strategies • Treatment of co-existing substance abuse • Research into causes and more effective treatments 18
  • 19. TOPIC 2 Schizophrenia and Suicide 19
  • 20. SCHIZOPHRENIA – CLINICAL PICTURE • Diagnosis is complex based on observations of behaviours and one’s thinking process (DSM-IV OR ICD-10 classification) • Symptoms vary for every person but may be:  Hallucinations – Especially voices, tactile and visual  Delusions – False beliefs, ideas of grandiosity or persecution  Disordered Thinking – Abnormalities in language  Abnormal Affect – Depressed mood, low motivation, withdrawal • Onset of it is either acute (days or weeks) or insidious (gradual transition) • Onset is earlier in males especially in 20’s, females early 30’s 20
  • 21. According to ICD-10 criteria*: 1.53.8% of people with psychoses had schizophrenia 2.10.8% Schizoaffective Disorder 3.11.8% Bi Polar and/or mania 4.8.4% depressive psychosis 5.15.3% other psychosis SCHIZOPHRENIA IS THE MOST COMMON TYPE OF PSYCHOSIS, REPRESENTING OVER HALF OF ALL PSYCHOTIC PATIENTS. 21 * International Statistical Classification of Diseases and Related Health Problems (ICD)
  • 22. SCHIZOPHRENIA – CLINICAL PICTURE Aetiology (Cause/s of Disease) • It is a group of brain disorders • Strong evidence that genetic and environmental factors impact on early brain development leading to an increased risk of development of it 22
  • 23. SCHIZOPHRENIA – CLINICAL PICTURE - FACTORS • Heredity/Genetics • Physical Abnormality of the Brain • Chemical Imbalance • Environment • Note: it is not considered a stress-related illness but stressful life events and use of drugs can precipitate a psychotic episode or first onset of it 23
  • 24. SCHIZOPHRENIA – CLINICAL PICTURE – ILLNESS PROGRESSION • 45% of patients have complete or partial recovery after one or more episodes • 20% poor outcomes and 35% varying degrees of remission and exacerbation • World Health Organisation based categories 24
  • 25. SCHIZOPHRENIA – MORBIDITY • Disability is experienced by those with it • Self-care is particularly of concern especially hygiene • 30% in Low Prevalence Disorders Study (LPDS) suffered impairment with 3.6% self-neglect • Occupational performance – study, housework, employment) is largely affected 25 Morbidity - refers to the state of being diseased or unhealthy within a population.
  • 26. SCHIZOPHRENIA – MORBIDITY – WORK AND EDUCATIONAL LIMITATIONS, SOCIAL-ECONOMIC DISADVANTAGE • People with schizophrenia are socio-economically disadvantaged with over 70% of people with psychosis in Australia not working at all • Nearly half have no school or tertiary education • People with schizophrenia who had employment experience high rates of losing it with 53% had lost nearly 15% of their work-weeks during the due due to illness-related absence 26
  • 27. SCHIZOPHRENIA – MORBIDITY – SOCIAL STIGMA • This is referred to as social mistreatment • Many forms with de-stigmatizing psychotic illness as a challenge • Includes negative labelling, pejorative language • Barriers to housing, employment, social services, social interactions, friendships with lower self-esteem and reluctance to obtain treatment 27
  • 28. SCHIZOPHRENIA – MORBIDITY – SOCIAL ISOLATION • Tend to want to be isolated • 31% live alone • 59% have an impaired ability to socialise • 35% have no face-to-face contact with close relative • 39% have no ‘best’ friend, 12% no friends at all, 64% single 28
  • 29. SCHIZOPHRENIA – VIOLENCE AND CRIMINALITY • Rate of violence can be more if substance abuse or previous criminal activity are present • Medications being discontinued is also a risk • More people in the prison system worldwide of those with psychotic illness – 3.7% males, 4.0% females • Also those with schizophrenia more likely to be victims of crime 29
  • 30. SCHIZOPHRENIA – CO-MORBIDITIES • Higher risk of other mental illnesses – 25%-30% chance of clinical depression • More anxiety, paranoia of being attacked due to persecutory delusions or worry about having an episode • Can also be prone to physical disorders due to unhealthier lifestyles and effects of anti-psychotic drugs 30
  • 31. SCHIZOPHRENIA – OTHER ISSUES AND HIGH RISK OF MORTALITY • Substance abuse – Alcohol (30%), and/or Drugs (25%) • Makes symptoms worse and treatment plans become ineffective • Lifetime diagnosis of alcohol and drug abuse is higher than the general population • Smoking is a common form of substance abuse with a risk of associated health issues, one study suggests 80% of people with schizophrenia smoke 31
  • 32. SUICIDE ISSUES • The World Health Organisation (WHO) calculates lifetime risk of suicide for people with schizophrenia as 10-13%, 12 times population risk • Higher in men 20%, women 17% 32