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Incremental healthcare expenditure attributable to diabetes mellitus: A cost of illness study in Tasmania, Australia


Dinh, NTT and de Graaff, B and Campbell, JA and Jose, MD and Burgess, J and Saunders, T and Kitsos, A and Wiggins, N and Palmer, AJ, Incremental healthcare expenditure attributable to diabetes mellitus: A cost of illness study in Tasmania, Australia, Diabetic Medicine, 39, (6) pp. 1-10. ISSN 0742-3071 (2022) [Refereed Article]

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DOI: doi:10.1111/dme.14817


Aims: To quantify the incremental direct medical costs in people with diabetes from the healthcare system perspective; and to identify trends in the incremental costs.

Methods: This was a matched retrospective cohort study based on a linked data set developed for investigating chronic kidney disease in Tasmania, Australia. Using propensity score matching, 51,324 people with diabetes were matched on age, sex and residential area with 102,648 people without diabetes. Direct medical costs (Australian dollars 20202021) due to hospitalisation, Emergency Department visits and pathology tests were included. The incremental costs and cost ratios between mean annual costs of people with diabetes and their controls were calculated.

Results: On average, people with diabetes had healthcare costs that were almost double their controls ($2427 [95% CI 23222543]; ratio 1.87 [95% CI 1.851.91]; pooled from 20072017). While in the first year of follow-up, the costs of a person with diabetes were $1643 (95% CI 14891806); ratio 1.83 (95% CI 1.761.92) more than their control, this increased to $2480 (95% CI 22652680); ratio 1.69 (95% CI 1.621.77) in the final year. Although the incremental costs were higher in older age groups (e.g., ≥70: $2498 [95% CI 22652754]; 4049: $2117 [95% CI 18872384]), the cost ratios were higher in younger age groups (≥70: 1.52 [95% CI 1.481.56]; 4049: 2.37 [95% CI 2.252.61]).

Conclusions: Given the increasing burden that diabetes imposes, our findings will support policymakers in future planning for diabetes and enable targeting sub-groups with higher long-term costs for possible cost savings for the Tasmanian healthcare system.

Item Details

Item Type:Refereed Article
Keywords:diabetes, cost of illness, data linkage, record linkage, Tasmania, Australia
Research Division:Economics
Research Group:Applied economics
Research Field:Health economics
Objective Division:Health
Objective Group:Public health (excl. specific population health)
Objective Field:Public health (excl. specific population health) not elsewhere classified
UTAS Author:Dinh, NTT (Ms Thi Thu Ngan Dinh)
UTAS Author:de Graaff, B (Dr Barbara de Graaff)
UTAS Author:Campbell, JA (Dr Julie Campbell)
UTAS Author:Jose, MD (Professor Matthew Jose)
UTAS Author:Burgess, J (Professor John Burgess)
UTAS Author:Saunders, T (Miss Tracie Saunders)
UTAS Author:Kitsos, A (Rev Alex Kitsos)
UTAS Author:Wiggins, N (Mrs Nadine Wiggins)
UTAS Author:Palmer, AJ (Professor Andrew Palmer)
ID Code:155620
Year Published:2022
Web of Science® Times Cited:2
Deposited By:Menzies Institute for Medical Research
Deposited On:2023-03-02
Last Modified:2023-03-02

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