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Published in: Applied Health Economics and Health Policy 4/2014

Open Access 01-08-2014 | Original Research Article

Estimating the Costs of Opioid Abuse and Dependence from an Employer Perspective: a Retrospective Analysis Using Administrative Claims Data

Authors: J. Bradford Rice, Noam Y. Kirson, Amie Shei, Alice Kate G. Cummings, Katharine Bodnar, Howard G. Birnbaum, Rami Ben-Joseph

Published in: Applied Health Economics and Health Policy | Issue 4/2014

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Abstract

Background

Opioid abuse and dependence is problematic across many age groups, including the working-age population and their dependents. Little is known, however, about the economic costs of opioid abuse/dependence imposed on employers, who pay for a substantial portion of healthcare costs through their contributions to employer-sponsored health insurance and are also affected by indirect costs such as those due to disability and workplace absenteeism.

Objective

To provide a comprehensive, current estimate of the economic burden of prescription opioid abuse/dependence to employers.

Methods

Administrative claims from beneficiaries covered by large self-insured companies throughout the USA were used to identify patients, including employees and dependents, who were diagnosed with opioid abuse and/or dependence (‘abusers’) between 2006 and 2012. Healthcare and work-loss costs for abusers were assessed over a 12-month period and compared with those for patients not diagnosed with abuse (‘comparison patients’), using propensity score matching.

Results

7,658 matched pairs of abusers and comparison patients were analysed. Relative to comparison patients, abusers had significantly higher annual healthcare resource utilization, leading to US$10,627 in per-patient incremental annual healthcare costs. Additionally, abusers had US$1,244 in excess annual work-loss costs. Together, this implies an employer burden for diagnosed abuse of US$1.71 per member per month.

Conclusion

Opioid abuse/dependence impose a substantial economic burden on employers.
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Metadata
Title
Estimating the Costs of Opioid Abuse and Dependence from an Employer Perspective: a Retrospective Analysis Using Administrative Claims Data
Authors
J. Bradford Rice
Noam Y. Kirson
Amie Shei
Alice Kate G. Cummings
Katharine Bodnar
Howard G. Birnbaum
Rami Ben-Joseph
Publication date
01-08-2014
Publisher
Springer International Publishing
Published in
Applied Health Economics and Health Policy / Issue 4/2014
Print ISSN: 1175-5652
Electronic ISSN: 1179-1896
DOI
https://doi.org/10.1007/s40258-014-0102-0

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