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Cost of Diabetes




                   Alexander Khodenko
Prologue
Diabetes
• What is diabetes? Autoimmune disorder

• What is insulin? Hormone

• Insulin deficiency or over abundance heart
  disease, blindness, kidney failure, lower
  extremity amputations.
Types of Diabetes
• Type 1 – insulin dependent  body destroys
  pancreatic beta cells which are responsible for
  insulin production
• Type 2 – non-insulin dependent frequently
  occurring non-insulin dependent and the most
  common type
• Gestational – glucose intolerance during
  pregnancy
• Other types due to specific genetic conditions,
  pancreatic disease, surgery, meds, other illnesses
Diabetes Trends
Diabetes
   • Seventh leading cause of death in the US
   • Prevalence of death for people with diabetes is twice
     higher than prevalence of death for people without
     diabetes




                    By 2025, the total number of people with diabetes will surpass 26 million
By 2050, the projected number of people with diabetes will rise to 129 million (165% increase over the 2000 level)
Diabetes Costs
                              $ 91.8
$100

 $90

 $80

 $70

 $60                                                   Total(direct & indirect)
                                       $ 45.2 $ 46.4   Direct medical costs
 $50
                                                       Indirect costs
 $40

 $30
       $ 20
 $20             $ 12   $8
 $10

  $0
              1980's              1990's
Diabetes Costs
                                  $ 174
$180


$160
       $132
$140
                                          $ 116
$120
              $92                                        Total (direct & indirect)
$100                                                     Direct medical costs
                                                         Indirect Costs
$80
                                                  $ 58
$60
                    $ 40
$40


$20


       2002                2007
  $0
Diabetes Costs
2002-2007 increase adjusted for inflation = $21
billion
                     Due to:
1. Growth in diabetes prevalence
2. Rising medical costs surpass inflation
3. Improvements in data collection methods &
    data sources used to estimate the cost of
    diabetes.
Other Costs of Diabetes
Pain & suffering (people & families)
Reduced Quality of life
Projections
• Do not assume a possibility of TX in the
  nearest future
• Do not assume advances in DM prevention in
  the nearest future
• Expected increase in the number of people
  diagnosed with diabetes
                       And
       Increase in the illness related costs
Prevention is Crucial


• Life style interventions  cost effective
  (proper diet, physical activity, maintenance of
  healthy weight, regular check ups)

• Diabetes education  cost efficient & cost
  effective
Health Care System Now
Framework of the health care system is a
              problem!
  Financing




     Reimbursement
Health Care System Needed
                     Financing




                   Reimbursement
Modifiable Factors

                    Limited
                   Access to
                  Health Care



     Ethnical
    Disparities



                                Poverty
Summary
• Expect increase in the number of people
  diagnosed with diabetes
• Expect increase in diabetes related costs
• Prevention is crucial
• Prevention is cost efficient & cost effective
• Social policy is the key to the disease control.
  Changes in social policies are needed.

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Cost of Diabetes

  • 1. Cost of Diabetes Alexander Khodenko
  • 3. Diabetes • What is diabetes? Autoimmune disorder • What is insulin? Hormone • Insulin deficiency or over abundance heart disease, blindness, kidney failure, lower extremity amputations.
  • 4. Types of Diabetes • Type 1 – insulin dependent  body destroys pancreatic beta cells which are responsible for insulin production • Type 2 – non-insulin dependent frequently occurring non-insulin dependent and the most common type • Gestational – glucose intolerance during pregnancy • Other types due to specific genetic conditions, pancreatic disease, surgery, meds, other illnesses
  • 6. Diabetes • Seventh leading cause of death in the US • Prevalence of death for people with diabetes is twice higher than prevalence of death for people without diabetes By 2025, the total number of people with diabetes will surpass 26 million By 2050, the projected number of people with diabetes will rise to 129 million (165% increase over the 2000 level)
  • 7. Diabetes Costs $ 91.8 $100 $90 $80 $70 $60 Total(direct & indirect) $ 45.2 $ 46.4 Direct medical costs $50 Indirect costs $40 $30 $ 20 $20 $ 12 $8 $10 $0 1980's 1990's
  • 8. Diabetes Costs $ 174 $180 $160 $132 $140 $ 116 $120 $92 Total (direct & indirect) $100 Direct medical costs Indirect Costs $80 $ 58 $60 $ 40 $40 $20 2002 2007 $0
  • 9. Diabetes Costs 2002-2007 increase adjusted for inflation = $21 billion Due to: 1. Growth in diabetes prevalence 2. Rising medical costs surpass inflation 3. Improvements in data collection methods & data sources used to estimate the cost of diabetes.
  • 10. Other Costs of Diabetes Pain & suffering (people & families) Reduced Quality of life
  • 11. Projections • Do not assume a possibility of TX in the nearest future • Do not assume advances in DM prevention in the nearest future • Expected increase in the number of people diagnosed with diabetes And Increase in the illness related costs
  • 12. Prevention is Crucial • Life style interventions  cost effective (proper diet, physical activity, maintenance of healthy weight, regular check ups) • Diabetes education  cost efficient & cost effective
  • 13. Health Care System Now Framework of the health care system is a problem! Financing Reimbursement
  • 14. Health Care System Needed Financing Reimbursement
  • 15. Modifiable Factors Limited Access to Health Care Ethnical Disparities Poverty
  • 16. Summary • Expect increase in the number of people diagnosed with diabetes • Expect increase in diabetes related costs • Prevention is crucial • Prevention is cost efficient & cost effective • Social policy is the key to the disease control. Changes in social policies are needed.