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Chronic Disease Cost Calculator

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On May 1, 2009, Susan Haber and Diane Orenstein made a presentation in a Web Conference entitled Chronic Disease Cost Calculator. This is the text version of the event's slide presentation.  Please select the following link to access the slides: (PowerPoint file, 1.7 MB; PDF File, 370 KB; PDF Help).

Slides: 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21


Slide 1: Chronic Disease Cost Calculator

Susan Haber, Sc.D.
Senior Economist
RTI International
Diane Orenstein, Ph.D.
Division for Heart Disease and
Stroke Prevention, CDC

1:00 p.m.-2:30 p.m. ET
Friday, May 1, 2009

This slide contains Susan Haber's picture and her information on the left and Diane Orenstein's picture and her information on the right.

Throughout the slide presentation, the Centers for Disease Control (CDC) logo is located in the lower left and the Department of Health and Human Services (HHS) and Agency for Healthcare Research and Quality (AHRQ) logos are located in the lower right.

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Slide 2: What Is the Chronic Disease Cost Calculator?

A downloadable tool that can be used to generate State estimates for Medicaid spending on treating 6 chronic diseases:

  • Heart failure
  • Heart disease
  • Stroke
  • Hypertension
  • Diabetes
  • Cancer

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Slide 3: Why Was the Calculator Developed?

  • Chronic diseases are among the most prevalent, costly, and preventable of all health problems.
  • Rapid Medicaid spending growth, especially on chronic diseases, places a significant burden on State budgets.
  • States need information on the financial impact caused by chronic diseases to inform program and policy decisions.
  • It is important that States have disease cost estimates based on consistent data and methodology.

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Slide 4: Partners in Developing the Calculator

  • CDC contracted with RTI International to develop the Calculator, including creating a disease cost and prevalence estimation methodology.
  • Collaboration involved:
  • Agency for Healthcare Research and Quality
  • National Association of Chronic Disease Directors
  • National Pharmaceutical Council
  • 3 divisions within the CDC

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Slide 5: How Does the Calculator Work?

  • Provides State-specific estimates of disease prevalence, per-person costs, and total Medicaid spending for 6 chronic diseases.
  • Users select which State they want to generate estimates for, which diseases, and whether estimates should be provided by age group or by gender.
  • Users have the option of using disease prevalence and per capita cost estimates provided as defaults or entering their own inputs.

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Slide 6: How Were Cost Estimates Developed?

  • Used data from AHRQ's Medical Expenditure Panel Survey (MEPS), the Centers for Medicare & Medicaid Services' Medicaid Analytic eXtract File (MAX), and the Medicaid Statistical Information System (MSIS).
  • State-specific costs per person with a disease were estimated using a regression approach, which minimizes double counting.
  • Per person costs were combined with State-specific prevalence estimates to generate total State Medicaid costs.

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Slide 7: Dissemination

Prior to release of Calculator:

  • National Association of State Medicaid Directors: November 2007
  • AHRQ State Quality Tools Workshops: December 2007 & January 2008
  • Web conferences for Medicaid Directors and Chronic Disease Directors : October 2008
  • Other presentations and Web conferences given to various groups in the months prior to Calculator release
  • FAQs based on Web conference input

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Slide 8: How Should the Estimates Be Used?

  • Provide information that can be used to assess the value of investing in disease prevention and disease management programs.
  • Educate policymakers about the economic impact of chronic diseases on their State and communicate the urgency of addressing the problem.
  • Stimulate collaboration among Medicaid Directors, Chronic Disease Directors, health departments, budget offices, and policymakers.

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Slide 9: What if Your State Has Its Own Estimates?

  • Calculator estimates are not meant to override other estimates.
  • Prevalence and cost estimates in the Calculator may differ from other State Medicaid estimates for several reasons:
  • Different data sources
  • Different estimation methodologies
  • Different time periods
  • Consider which set of data and modeling assumptions are most appropriate in a given situation.

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Slide 10: Plans for Future Iterations

  • Create Version 2: Include estimates for asthma, depression, and arthritis.
  • Expand estimates to Medicare, Medicaid, private payers, and total population.
  • Update data: 2006 MEPS (includes Medicare Part D).
  • Include estimates of indirect costs due to lost productivity.
  • Include projections of future costs to 10 years.

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Slide 11: Where Is the Calculator Available?

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Slide 12: Questions?

To ask a question, click on the Raise Hand button in the Participants Panel and the Host will unmute your line. To the right of this text, there is an image of the Participants Panel.

Once you question has been answered, please click the Lower Hand Icon and the Host will mute your line. To the right of this text, there is a red arrow pointing to an image of the Lower Hand button.

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Slide 13: Tool Screenshots

This slide contains a screenshot of the 'Welcome!' screen of the Chronic Disease Cost Calculator.

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Slide 14: Tool Screenshots

This slide contains a screenshot of the 'Main Switchboard' of the Chronic Disease Cost Calculator.

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Slide 15: Tool Screenshots

This slide contains a screenshot of the 'Select State' window of the Chronic Disease Cost Calculator.

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Slide 16: Tool Screenshots

This slide contains a screenshot of the 'Select Diseases' window of the Chronic Disease Cost Calculator.

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Slide 17: Tool Screenshots

This slide contains a screenshot of the 'Number of Medicaid beneficiaries in your state' window of the Chronic Disease Cost Calculator.

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Slide 18: Tool Screenshots

This slide contains a screenshot of the 'Prevalence of chronic diseases in your state' window of the Chronic Disease Cost Calculator.

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Slide 19: Tool Screenshots

This slide contains a screenshot of the 'Cost per person with chronic disease in your state' window of the Chronic Disease Cost Calculator.

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Slide 20: Tool Screenshots

This slide contains a screenshot of the 'Calculated Costs' of the Chronic Disease Cost Calculator. The results are for the State of Alabama.

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Slide 21: Tool Screenshots

This slide contains a screenshot of the 'Calculated Costs' reported in the $1,000's screen of the Chronic Disease Cost Calculator. The results are for the State of Alabama.

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