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How Much Does The Us Spend On Diabetes?

4.5-year Study Finds Diabetes And Related Drug Costs Surging

4.5-year Study Finds Diabetes And Related Drug Costs Surging

Nearly 1 in 10 Americans have diabetes.1 It’s an epidemic, and it doesn’t appear to be stopping any time soon. By 2050, as many as 1 in 3 adults in the United States will have diabetes.2 The growing diabetic population is having a marked impact on drug use and spend. Coupled with drug price inflation, rising use has led to mounting costs for plan sponsors. To help measure the impact of rising use and costs, our team dove deep into Prime’s data to study diabetes prevalence, incidence and drug therapy. What we studied Our research team studied nearly 4 million commercial members who were continuously enrolled in a plan for 4.5 years. We used criteria to identify members who had diabetes-related claims, and broke the data down further by diabetes (Type 1 or Type 2) and therapy type. What we learned Diabetes drug use and costs are rising quickly. From January 2011 to June 2015: The average cost for all diabetes drugs increased 168 percent. Diabetes drugs, as a category, increased from 6.7 percent to 10.7 percent of total drug spend. Insulin costs increased 200 percent, and use increased 50 percent. Insulin costs rose from 3 percent to 5.4 percent of total drug spend. What plan sponsors can do Programs such as step therapy can help plan sponsors encourage the use of generics with known, long-term safety and efficacy, resulting in lower overall drug spend. In addition, programs that help drive adherence by identifying and communicating gaps in care (such as Prime’s GuidedHealth® program) can help improve safety and outcomes, helping members get the medicines they need to live well and lowering the total cost of care. View the full research poster: Diabetes Mellitus (DM) Prevalence, Incidence, Drug Regimens and Insulin Therapy Cost by Type Among Four Million Commercia Continue reading >>

Medicare Fee-for-service Spending For Diabetes: Examining Aging And Comorbidities

Medicare Fee-for-service Spending For Diabetes: Examining Aging And Comorbidities

1 KPMG, LLP, Economic and Valuation Services, USA 2 Health Systems Research Associates, USA Citation: Erdem E, Korda H (2014) Medicare Fee-for-Service Spending for Diabetes: Examining Aging and Comorbidities. J Diabetes Metab 5:345. doi: 10.4172/2155-6156.1000345 Copyright: © 2014 Erdem E, et al. This is an open-access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited. Visit for more related articles at Journal of Diabetes & Metabolism Abstract This research report examines prevalence and spending on diabetes for fee-for-service (FFS) beneficiaries of the Medicare program, the health insurance program that covers the majority of adults age 65 and above in the U.S. To date, most studies of spending on diabetes care in the U.S. have relied on self-reported survey data and estimates of utilization and spending, but do not represent actual spending identified through administrative claims. This report is based on newly available administrative claims data from the Centers for Medicare & Medicaid Services 2010 Chronic Conditions Public Use File. Diabetes was prevalent among approximately 1/4 of Medicare FFS beneficiaries in 2010. Prevalence increased with age initially for the aged population, but dropped for beneficiaries > 85. Only about 1/4 of diabetic beneficiaries had diabetes without a comorbidity. Beneficiaries with diabetes had 2.8 chronic conditions (including diabetes) with average Medicare Part A and Part B spending of $5,741 and $5,991, and drug costs of $3,119, respectively. Spending increased with age for beneficiaries >65. Findings of these analyses consider diabetes in the context of chronic comorbi Continue reading >>

Diabetes Costs Nation $245 Billion Annually, Study Says

Diabetes Costs Nation $245 Billion Annually, Study Says

The cost of diabetes rose 41% over five years, according to new research, which included work-related costs. The growing toll of diabetes cost the nation a record high $245 billion in 2012, a 41% increase from $174 billion in 2007, according to new research released today. The study Economic Costs of Diabetes in the U.S. in 2012, commissioned by the American Diabetes Association, estimated the health care and work-related costs of diagnosed diabetes. The full study will be published in the April issue of Diabetes Care. John Anderson, the association's president of medicine and science, says the cost of diabetes has risen primarily because of the higher number of people with the disease. "When you look at the per-patient cost of diabetes, it has remained roughly flat," he adds. Matt Petersen, the association's managing director of medical information, says, "Overall, we're not seeing that each person with diabetes is costing us more." Medication costs did not increase significantly and hospitalization costs, percentage-wise, decreased, he adds. The study estimated 22.3 million people in the USA were diagnosed with diabetes in 2012. An earlier study by the association estimated that nearly 17.5 million people in the USA were diagnosed with type 1 or type 2 diabetes in 2007. Diabetes is a disease in which blood glucose, or sugar, levels are above normal. It can cause complications such as amputations of lower limbs, blindness and kidney failure. Diabetes is the seventh leading cause of death in the USA, according to the Centers for Disease Control and Prevention. The study found that direct medical costs totaled $176 billion, reflecting hospital and emergency care, office visits and medications. Indirect costs added up to $69 billion, which includes absenteeism, reduced or Continue reading >>

Developing Countriesdeveloping Countries

Developing Countriesdeveloping Countries

COSTS OF DIABETES IN COSTS OF DIABETES IN Jonathan Betz Brown, MPP, PhD Chair, International Diabetes Federation Task Force on Diabetes Health Economics Senior Investigator, Kaiser Permanente Center for Health Research, Portland, Oregon, USA [email protected] Complications of Diabetes � Coronary Artery Disease � Stroke �Heart Failure � Peripheral Neuropathy � Peripheral Artery Diseaseà Amputation � Blindness �Renal Failure � Acute Hyperglycemic Symptoms � Tuberculosis, HIV MILLIONS Global Deaths by CauseGlobal Deaths by Cause 1.21.2Malaria 2.62.6HIV/AIDS 13.413.4CVD (w/ DM) 3.83.8Diabetes DeathsDeaths Sources: International Diabetes Federation. Diabetes Atlas, Third Ed., 2006. World Health Organization. Global Burden of Disease Project. 2003 THOUSANDS, AGED 20-79 2007 Deaths from Diabetes2007 Deaths from Diabetes 337 297 721 242 189 1017 978 0 200 400 600 800 1000 1200 AFRAFRAFRAFR EMMEEMMEEMMEEMME EUREUREUREUR NANANANA SACASACASACASACA SEASEASEASEA WPWPWPWP Source: International Diabetes Federation. Diabetes Atlas, Third Ed., 2006. Health Care Expenditures for Health Care Expenditures for Diabetes, 2007Diabetes, 2007 USD 350 billionUSD 350 billion2002 2002 Intern’lIntern’l $$ USD 300 billionUSD 300 billion2002 2002 US DollarsUS Dollars Source: International Diabetes Federation. Diabetes Atlas, Third Ed., 2006 ESTIMATED DIABETES-CAUSED Spending Per Capita w/ DM, 2007 10641064318318South AfricaSouth Africa 75753333NigeriaNigeria 56562424TanzaniaTanzania 1251253434KenyaKenya 1221225656CameroonCameroon 303066BurundiBurundi 6231623162316231USAUSA IDIDUSDUSD Source: IDF Diabetes Atlas, Third Edition, 2007 664966496649 BILLIONS OF USD 2002, R=2BILLIONS OF USD 2002, R=2 2007 Health Expenditures for Diabetes2007 Continue reading >>

Diabetics Can Spend $1,000 A Month Taking Care Of Themselves — And It's Not Just Because Of Insulin

Diabetics Can Spend $1,000 A Month Taking Care Of Themselves — And It's Not Just Because Of Insulin

A paramedic checking the blood sugar levels of a diabetes patient. Beawiharta Beawiharta/Reuters Diabetes, in particular type 1 diabetes, can be an expensive chronic disease to manage. That's being felt as the cost of insulin increases, while at the same time high health insurance deductibles leave families on the hook to cover more of the cost than ever before. It means, in some cases, all the expenses can climb past $1,000 a month. There are two types of diabetes of which nearly 29.1 million Americans have one or the other. Type 1 is an autoimmune disease, in which the body mistakenly kills so-called beta cells that are supposed to make the body's insulin, a hormone that helps people absorb and process the sugar in food. This kind of diabetes can affect any age group, though it's most often diagnosed in children, teens, and young adults. The roughly 1.25 million people in the US who have Type 1 diabetes need to inject insulin to live. Type 2 diabetes, the more common form, is something that develops either based on genetic or lifestyle choices, and doesn't always require that you need to take insulin. But insulin isn't the only thing type 1 diabetics have to keep track of. There are a lot of supplies that come with the diagnosis: there are test strips, which help monitor blood sugar levels there are lancets that are used to draw the blood, not to mention alcohol swabs to clean the area where injections happen. There are also the needles/syringes you need to inject the insulin. There's also a device called glucagon, an emergency drug for diabetics that is kind of like the EpiPen. If a diabetic' blood sugar gets too low and he or she passes out, someone can administer the glucagon to get their blood sugar levels back up to non-emergency levels. Some also choose to use a Continue reading >>

Cost Of Diabetes

Cost Of Diabetes

Tweet The cost of diabetes to the NHS is over £1.5m an hour or 10% of the NHS budget for England and Wales. This equates to over £25,000 being spent on diabetes every minute. In total, an estimated £14 billion pounds is spent a year on treating diabetes and its complications, with the cost of treating complications representing the much higher cost. The prevalence of diabetes is estimated to rise to 4 million by 2025. Costs of diabetes treatment in the UK The following table represents the relative cost of diabetes treatment in the UK in 2012. Cost of diabetes treatment in the UK in 2012 Area of expenditure Type 1 diabetes Type 2 diabetes Total cost Percentage of costs Source: Kanavos, van den Aardweg and Schurer: Diabetes expenditure, burden of disease and management in 5 EU countries, LSE (Jan 2012) Diabetes drugs £0.344 billion £0.712 billion £1.056 billion 7.8% Non-diabetes drugs £0.281 billion £1.810 billion £2.091 billion 15.2% Inpatient £1.007 billion £8.038 billion £9.045 billion 65.8% Outpatient (excluding drugs) £0.170 billion £1.158 billion £1,328 billion 9.7% Other (including social service) - - £0.230 billion 1.7% Total £1.802 billion £11.718 billion £13.750 billion 100% The cost of diabetes complications A 2012 report from the London School of Economics, estimates that the cost of prescribing medication for complications of diabetes is around 3 to 4 times the cost of prescribing diabetes medication. Medication for cardiovascular disease constitutes the largest proportion of prescriptions costs for people with diabetes. Annual inpatient care, to treat short and long term complications of diabetes, is estimated at between £1,800 and £2,500 per patient. This compares with annual outpatient costs, which includes the cost of medications and Continue reading >>

It Costs $10k More To Treat People With Diabetes, Insurers Say

It Costs $10k More To Treat People With Diabetes, Insurers Say

It now costs $10,000 or more per person annually to treat someone with diabetes than someone who doesn’t have the chronic disease, according to a new analysis of large insurance company claims data. The Health Care Cost Institute, a Washington-based group backed by some of the nation’s largest insurance companies including UnitedHealth Group UNH -0.18% (UNH), (HUM) (AET) and says that spending per capita on health care for people with diabetes was just shy of $15,000 in 2013. By comparison, $4,305 was spent in the same year on people who didn't have diabetes, according to claims information for people under age 65 with employer-sponsored insurance from data provided to the group. The report is the latest push from insurance companies to use their vast claims data to point out areas of rising costs and the reasons behind it. The Blue Cross and Blue Shield Association, which represents Anthem (ANTM) and myriad other Blue Cross and Blue Shield companies, has been issuing more reports of late as well showing cost differences for treatments and surgeries and how they vary across the country. (See related gallery from Blue Cross on knee and hip surgery costs.) In the institute’s diabetes report, the insurers and their data point to expensive new brand name insulin and other prescription medications as a key driver in the diabetes costs per capita that jumped 4 percent in 2013 to $14,999 from $14,404 in 2012. Costs for people without diabetes rose to $4,305 in 2013 from $4,146. “We’re seeing spending on anti-diabetic medication and insulin specifically and branded versions of those products go up,” Amanda Frost, researcher for the institute, said in an interview. “We looked at 2009 to 2013 spending, but it was really 2011, 2012 and 2013 that spending increased fo Continue reading >>

Estimating The Cost Of Type 1 Diabetes In The U.s.: A Propensity Score Matching Method

Estimating The Cost Of Type 1 Diabetes In The U.s.: A Propensity Score Matching Method

Introduction Type 1 diabetes (T1D) is an autoimmune disease, often diagnosed early in life, characterized by the destruction of the insulin-secreting β cells in the pancreas. As a consequence, patients become insulin-dependent and must follow a rigid, daily regimen of exogenous insulin replacement. In contrast, type 2 diabetes (T2D) is typically a disease of adulthood (although more cases are now being seen earlier in life), where a relative insulin deficiency arises due to insulin resistance and abnormal pancreatic β cell function [1]. The American Diabetes Association (ADA) estimates that there are 17.9 million individuals diagnosed with diabetes in the U.S. [2], with 5 to 10 percent representing those with T1D [3]. Epidemiologic studies suggest that the incidence rate of T1D has been growing worldwide, especially amongst young children [4]. With the increasing focus on the T2D epidemic, the impact of T1D in this country is often overlooked, particularly from an economic perspective. Many cost-of-illness (COI) studies have been performed on diabetes, but most combine the costs for T1D and T2D over just one year. The Agency for Health Research Quality (AHRQ), using the Medical Expenditures Panel Survey (MEPS), a nationally representative data set [5], reports that $34 billion in health expenditures were related to diabetes in 2005 [6]. A frequently quoted study by the ADA improves upon this number by using the attributable risk methodology to calculate the portion of expenditures on related comorbidities that is due to diabetes [7]. The researchers also include other non-medical costs (i.e. lost work days, bed days, and increased mortality), which are important factors in the cost of diabetes. The study finds that diabetes is responsible for $92 billion in medical ex Continue reading >>

Jama Paper Breaks Down Medical Research Funding In The Us

Jama Paper Breaks Down Medical Research Funding In The Us

By Kelly Close and the diaTribe team Twitter Summary: [email protected]_current special paper discusses how much funding US gives to healthcare research, findings show #diabetes is underfunded The Journal of the American Medical Association (JAMA) recently published a “Special Communication” paper titled “The Anatomy of Medical Research,” analyzing medical research funding worldwide between 1994 and 2012. The paper is one of the first and largest of its kind to examine medical research spending on a global scale, and its results identify some key problem areas in the way the US is focusing its research dollars. Namely, it points to the fact that diabetes and chronic illnesses are largely underfunded compared to other disease areas. These findings are described below. Disease Burden Vs. Funding The article points out that public funding of medical research does not fully correlate with disease burden. On a large scale, a set of 27 diseases (including diabetes) that account for 84% of deaths in the US receive less than half (48%) of NIH funding. The article’s authors indicate that cancer and HIV/AIDS have received a disproportionately large amount of this investment, while chronic diseases like diabetes and obesity have received less funding relative to the costs they impose on society. In 2012, cancer accounted for $5.6 billion (roughly 16%) of total NIH funding, HIV/AIDS accounted for $3.1 billion (roughly 9%) of total NIH funding, and diabetes accounted for $1.1 billion (roughly 3%) of total NIH funding (Figure 1), a much lower figure than we would have expected, considering the number of patients dealing with each condition. According to the CDC, there are roughly 1.2 million people in the US with HIV/AIDS and 13.4 million people alive with a history of cancer (either Continue reading >>

U.s. Gov Spends Billions On Diabetes Research, But Scientists Already Know The Cure

U.s. Gov Spends Billions On Diabetes Research, But Scientists Already Know The Cure

According to the U.S. Centers for Disease Control and Prevention, about 29.1 million Americans—nearly a tenth of the U.S. population—have diabetes. The majority of these cases are Type 2 diabetes, formerly called "adult onset diabetes," a condition that can require daily insulin shots and eventually lead to blindness, stroke, limb amputation, and kidney failure. The federal government funds research on diabetes prevention and cures to the tune of more than one billion dollars a year. But we already have a cure for the diabetes: lose weight and eat better. Scientists have been saying so for years. Now new research suggests, yet again, that millions of people could shake type 2 diabetes if they just lost some weight. The study, out of England's Newcastle University, was small, involving just 18 patients. But it builds on previous research suggesting that Type 2 diabetes can be "reversed," even in those who've had the diseae a long time. In the new study, 18 obese patients with type 2 diabetes were given gastric band surgery, then put on a healthy and low-calorie diet (about 1,200 calories per day) for eight weeks. By the end of the study period, they had lost an average of about 31 pounds each, along with 0.6 grams of fat from their pancreas. The pancreas-fat loss is crucial, scientists say, noting that a control group of non-diabetic obese patients showed no pancreas-fat decrease when they lost similar amounts of weight. "This shows that the excess fat in the diabetic pancreas is specific to Type 2 diabetes and important in preventing insulin being made as normal," according to a Newcastle University press release. "When that excess fat is removed, insulin secretion increases to normal levels. In other words, they were diabetes free." "At present the only way we have Continue reading >>

Economic Costs Of Diabetes In The U.s. In 2012

Economic Costs Of Diabetes In The U.s. In 2012

Go to: Abstract This study updates previous estimates of the economic burden of diagnosed diabetes and quantifies the increased health resource use and lost productivity associated with diabetes in 2012. The study uses a prevalence-based approach that combines the demographics of the U.S. population in 2012 with diabetes prevalence, epidemiological data, health care cost, and economic data into a Cost of Diabetes Model. Health resource use and associated medical costs are analyzed by age, sex, race/ethnicity, insurance coverage, medical condition, and health service category. Data sources include national surveys, Medicare standard analytical files, and one of the largest claims databases for the commercially insured population in the U.S. The total estimated cost of diagnosed diabetes in 2012 is $245 billion, including $176 billion in direct medical costs and $69 billion in reduced productivity. The largest components of medical expenditures are hospital inpatient care (43% of the total medical cost), prescription medications to treat the complications of diabetes (18%), antidiabetic agents and diabetes supplies (12%), physician office visits (9%), and nursing/residential facility stays (8%). People with diagnosed diabetes incur average medical expenditures of about $13,700 per year, of which about $7,900 is attributed to diabetes. People with diagnosed diabetes, on average, have medical expenditures approximately 2.3 times higher than what expenditures would be in the absence of diabetes. For the cost categories analyzed, care for people with diagnosed diabetes accounts for more than 1 in 5 health care dollars in the U.S., and more than half of that expenditure is directly attributable to diabetes. Indirect costs include increased absenteeism ($5 billion) and reduced Continue reading >>

Diabetes Costing Americans More Than Any Other Disease

Diabetes Costing Americans More Than Any Other Disease

About half of all health-care spending in the United States goes to treat a small group of diseases, according to new research. And diabetes is leading the pack, far outpacing other conditions in total dollars spent. Researchers from the Institute for Health Metrics and Evaluation tracked the costs associated with 155 diseases for 18 years. Of that 155, a mere 20 were found responsible for over half of all medical expenditures. Diabetes is the most expensive condition in terms of total dollars spent nationwide, costing $101 billion in diagnosis and treatment in 2013. Ischemic heart disease, the second-largest source of expenses, cost a total of $88 billion that year. The survey shows that diabetes-related costs have grown 36-times faster than those for ischemic heart disease, which kills more people than any other condition. There are a variety of factors that drove diabetes spending up over that period, said lead author Joseph Dieleman, in an interview with CNBC. First, older people are more susceptible to the disease, and America's population is aging. It is also more prevalent overall, due to dietary and lifestyle changes, and health professionals are treating the condition more aggressively than they were in the past. Dieleman told CNBC that the study is an attempt to map out the specific conditions that are driving spending, and identify the areas where efficiency or quality of service can be improved. "So often the total amount money we spend on health care gets thrown around, and our sense was there is not as much information on what that money is actually spent on," said Dieleman, an assistant professor at the University of Washington's IHME. Dieleman also said people are often struck by the sorts of conditions included in the list, as many people tend to guess Continue reading >>

The Cost Of Diabetes Care

The Cost Of Diabetes Care

Today’s Patient Money explores the various costs associated with diabetes as well as suggestions for how patients can save money on their care. Diabetes patients spend an average of $6,000 annually on costs for treating their disease, according to a recent survey conducted by Consumer Reports Health. That figure includes monitoring supplies, medicines, doctor visits, annual eye exams and other routine costs. But the total doesn’t include the costs of medical complications that often result from Type 2 diabetes, such as heart disease, strokes, liver and kidney damage, eye damage and a susceptibility to infections and poor healing that can lead to amputations. The C.D.C. estimates that diabetic patients on average pay twice as much as those without the illness for health care. To learn more, read the full column, “Protecting Yourself From the Cost of Type 2 Diabetes,” and then please join the discussion below. Continue reading >>

Diabetes Has Become One Of America’s Most Expensive Diseases

Diabetes Has Become One Of America’s Most Expensive Diseases

With an estimated 30 million Americans struggling with diabetes, the disease is one of the nation’s most entrenched chronic conditions. It’s also one of the most expensive. Consider these facts: ▪ In California, roughly 55 percent of adults either have diagnosed diabetes or blood-sugar levels that put them at high risk of developing the disease. That includes roughly 1 in every 3 adults ages 18 to 39 – a finding researchers call alarming. ▪ In terms of personal health care spending, diabetes tops the nation’s list of 155 chronic conditions, hitting $101.4 billion in 2013. According to the American Diabetes Association, average medical expenditures for people with diabetes are an estimated 2.3 times higher than for those without it. Never miss a local story. Sign up today for a free 30 day free trial of unlimited digital access. SUBSCRIBE NOW ▪ The cost of insulin alone has spiked by triple-digit percentages in the past 20 years. “It’s horrible for patients,” said N. Chesney Hoagland-Fuchs, a registered nurse and chairwoman of the Diabetes Coalition of California. She said prices for insulin medications began a slow climb after the recession and started “shooting up” around 2013. Over the past 20 years, the price of human insulin produced by two major manufacturers – Eli Lilly and Novo Nordisk – rose 450 percent, after accounting for inflation, according to a 2016 Washington Post analysis of data from Michigan-based Truven Health Analytics. A single 10-milliliter vial of Eli Lilly’s Humalog insulin – less than a month’s supply for many adults – was listed at $254.80 last year, compared with $20.82 in 1996, a Truven Health representative said. Insulin is only one sliver of the cost of living with Type 1 and Type 2 diabetes. Depending on Continue reading >>

Diabetes Accounts For Majority Of U.s. Healthcare Spending

Diabetes Accounts For Majority Of U.s. Healthcare Spending

Spending on healthcare in the United States, both personal and public, has increased substantially from 1996 to 2013, according to the results of a study published recently in the Journal of the American Medical Association. Of spending for 155 conditions looked at in the study, diabetes had the highest healthcare costs in 2013. “We know that the U.S. spends more than any other country in the world on healthcare, but previously there hasn’t been a comprehensive breakdown of spending by condition, age and sex group, and type of care,” study author Joseph L. Dieleman, PhD, of the Institute for Health Metrics and Evaluation at the University of Washington, told Medical Economics. “It is important to know how and where this money is being spent, and the insights provided in our study may have implications for efforts to control healthcare spending through better policies and tailored interventions.” Dieleman and colleagues looked at government budgets, insurance claims, facility surveys, household surveys and official U.S. records from 1996 to 2013 to estimate spending for 155 conditions. From 1996 to 2013, $30.1 trillion was spent on personal healthcare to treat the 155 conditions looked at. Personal healthcare spending increased for 143 of 155 of the conditions. In 2013, the top 20 conditions accounted for about 57.6% of personal healthcare spending, totaling $1.2 trillion. Of the conditions, diabetes had the highest healthcare spending in 2013, totaling an estimated $101.4 billion. Of diabetes spending, 57.6% was spent on pharmaceuticals and 23.5% was spent on ambulatory care. “What is alarming about diabetes is the rate at which spending has grown, which is about 6.5% per year on average,” Dieleman said. “While the sheer amount of money that is spent on Continue reading >>

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