Cost effectiveness analysis in health care by Abrar.pptx
- 2. C O N T E N T S 1 C o st- Effe c ti v e n e s s A n a l ys i s ( C E A ) i n H e a l t h C a r e 2 Introduction to CEA 3 Key Concepts of CEA 4 Th e C o st- Effe c tive n es s P l a n e
- 3. C O N T E N T S 5 C o st- Effe c ti v e n e s s A n a l ys i s ( C E A ) i n H e a l t h C a r e 6 L i m i ta ti o n s a n d c h a l l e n g e s fo r C E A 7 F u t u re o f C EA i n H e a l t h C a re
- 5. 1 1 3 2 Healthcare resources are limited, requiring optimal allocation. Introduction to CEA CEA compares costs and health benefits of different medical interventions Introduction to CEA Helps policymakers, healthcare providers, and insurance companies make informed decisions. Introduction to CEA Introduction to CEA
- 6. 2Key Concepts of CEA
- 7. •Costs: Direct (e.g., hospital stays, drugs), Indirect (e.g., lost productivity). •Effectiveness: Measured in life years gained, illness days avoided, or QALYs. •ncremental Cost-Effectiveness Ratio (ICER): oFormula: (Cost of New Treatment – Cost of Standard Treatment) / (Effectiveness of New Treatment – Effectiveness of Standard Treatment) •Decision Perspective: Societal, healthcare system, or patient-based.
- 10. Lower ICER = More cost-effective intervention. Threshold values: WHO Standard: < 1x GDP per capita = Cost-effective. Example: If ICER = $50,000 per QALY in the US, it's considered acceptable. Example: Comparing Drug A vs. Drug B in heart disease prevention.
- 15. 5Limitations & Challenges of CEA
- 17. 6Future of CEA in Health Care
- 19. 7Applications of CEA in Health Care
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- 21. 8Conclusion
- 22. •CEA is essential for efficient healthcare spending. •Helps balance cost and quality of care. •Widely used in drug pricing, policy decisions, and public health interventions. •Future advancements will improve accuracy and application in real-world settings.
- 24. ANY QUESTIONS Then we'll discuss further....