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(1)

www.dcp-3.org

[email protected]

Extended Cost-Effectiveness

Analysis in DCP3

(2)

ECEA Team

Dean Jamison

Kjell Arne Johansson

Margaret E. Kruk

Ramanan Laxminarayan

Arindam Nandi

Rachel Nugent

Mark Shrime

Stephane Verguet

(3)

ECEA Conceptual

Framework

Aim:

ECEA advances on CEA by including policy and health system levers

(inputs) and distribution of health gains, financial protection benefits

(outcomes)

Rationale:

1.

Includes policies and health system delivery approaches because

they affect efficiency, equity, and effectiveness of interventions

(moves away from a contextual interventions)

2.

Includes financial protection because this is an aim of health

systems

(4)

ECEA Conceptual

Framework

(5)

ECEA Conceptual

Framework

(6)

ECEA Conceptual

Framework

(7)

Inputs

Policy and structural levers

• Public health policies (e.g., regulation of smoking, salt, food fortification)

• Behavior change communication (e.g., mass media campaigns)

• Pricing (e.g., user fees, negative user fees, partial public finance, universal

public finance, taxation)

• Structural (e.g., infrastructure development, improved supply chain)

Service delivery models

• Organization and planning (e.g., level of the system interventions are

delivered, referral guidelines, individual versus bundled interventions)

• Human resources (e.g., who delivers the service)

• Quality improvement interventions

Interventions

(8)

Outcomes

Outcomes

Aggregate health outcomes (e.g., deaths averted,

life years saved, DALYs)

Distribution of health outcomes (e.g., by wealth

quintile)

Financial protection (e.g., net private

expenditures averted, insurance value, cases of

impoverishment averted, borrowing and/or asset

sales averted)

(9)

Example: Essential

surgery in Ethiopia

Question:

What is the cost-effectiveness of public

financing of life-saving surgery and task shifting to

non-physicians?

Rationale:

Caesarian section in Ethiopia is 0.4% of births—surgery

underutilized in most LICs

25% of households in 40 LMICs borrowed money or sell

assets to pay for health care in past year; more

common among poor

(10)

Example: Essential

surgery in Ethiopia

Analytic approach: sequential model

Step 1:

Establish contents of basic surgical

package

Step 2:

Provide government financing

Step 3:

Task shift to non-physicians to expand

service availability

(11)

Surgery ECEA

Health outcomes, distribution, and financial protection

Service

delivery

models

Interventions

Policies

Task shifting to surgical technicians Public financing of essential surgery Rural practice policies Essential surgery package
(12)

Intervention:

life-saving surgeries

Obstetric: D&C, C/S, hysterectomy,

salpingectomy for ectopics

General: Appendectomy, exploratory

laparatomy for bowel obstruction/perforation

Trauma: Tube thoracostomy, Traumatic

(13)

Policies and

delivery models

Policies

Universal public finance of surgical package

Rural practice incentives/restrictions, medical

licensing reforms

Delivery models

Non-physician surgeon (modeled on tecnico

de cirurgia in Mozambique)

(14)

Outcomes

Deaths averted/DALYs averted

Cases of poverty averted

Asset sales/borrowing averted

Distribution of health and financial outcomes

(15)

Essential surgery

in Ethiopia

Setting:

• Rural Ethiopia (69M, approximately 83% of total population)1

Model inputs:

• Incidence of disease

• Gradient of disease across income quintiles

• Disability weights for disease states

• Cost of surgical intervention in Addis vs. in district hospitals

– Approximately 1.5x more expensive in Addis2

• Complication rates for surgeons vs. technicians

• Mortality rates:

– Untreated disease (assumed to be 1 for most, but not all, conditions) – Disease treated by surgeons

(16)

Essential surgery

in Ethiopia

Inputs:

Demographic and financial variables

– Proportion of the population women of reproductive age (0.23)1

– Proportion below the poverty line (0.29 – 0.39)2

– Average yearly income (USD 364)3

– Inflation rate

– Interest rate

Utilization

– 20%, with gradient across wealth quintiles4

Attrition rate for surgeons and techs

– Rural surgeons: 1 – 3 years

(17)

Results

Universal public financing

All patients who desire care get it

(18)

0 0.2 0.4 0.6 0.8 1 1.2 1.4 1.6 D e ath s/1000 Maternal Mortality Status Quo UPF 0 0.2 0.4 0.6 0.8 1 1.2 1.4 1.6 D e ath s/1000 Trauma/Injury Status Quo UPF 0 0.005 0.01 0.015 0.02 D e ath s/1000 Appendicitis Status Quo UPF 0 200 400 600 800 1000 1200 Exp e cte d c o st, 1000 p e o p le Maternal Mortality Status Quo UPF 0 1000 2000 3000 4000 5000 6000 Exp e cte d c o st, 1000 p e o p le Trauma/Injury Status Quo UPF 0 10 20 30 40 50 60 e cte d c o st, 1000 p e o p le Appendicitis Status Quo UPF Mor tali ty Cos ts

(19)

Another example:

universal public finance for

TB treatment in India

UPF for TB treatment

(90% effectiveness, 80% coverage)

Health

gains

(e.g. TB deaths averted)

Household

expenditures

(e.g. TB-related costs averted)

“Insurance”

benefits

(e.g. financial protection from TB-related costs)
(20)

Benefits over 1 year for

1 million Indians with

UPF for TB treatment

Outcome Total Income Quintile I (Poorest) Income Quintile II (Poorer) Income Quintile III (Middle) Income Quintile IV (Richer) Income Quintile V (Richest) 1 TB deaths averted 150 100 50 0 0 0 2 Private expenditures crowded out $70,000 0 15,000 25,000 20,000 10,000 3 Money-metric value of insurance $10,000 0 3,000 4,000 2,000 1,000

(21)

Conclusions (1)

ECEAs

incorporate equity & financial protection, two important

objectives of health systems

(Murray & Frenk 2000)

Case study: UPF of TB treatment in India

health gains concentrated among poor

financial protection benefits concentrated among poor,

effectively replacing coping mechanisms

References

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