Skip to main content
Top
Published in: The Journal of Behavioral Health Services & Research 3/2006

01-07-2006 | Regular Article

Medical Cost-Offset Following Treatment Referral for Alcohol and Other Drug Use Disorders in a Group Model HMO

Authors: Michael R. Polen, PhD, Donald K. Freeborn, PhD, Frances L. Lynch, PhD, John P. Mullooly, PhD, Daniel M. Dickinson, MA, CADC

Published in: The Journal of Behavioral Health Services & Research | Issue 3/2006

Login to get access

Abstract

The purpose of this study was to determine whether specialty alcohol and other drug (AOD) treatment is associated with reduced subsequent medical care costs. AOD treatment costs and medical costs in a group model health maintenance organization (HMO) were collected for up to 6 years on 1,472 HMO members who were recommended for specialty AOD treatment, and on 738 members without AOD diagnoses or treatment. Addiction Severity Index measures were also obtained from a sample of 293 of those recommended for treatment. Changes in medical costs did not differ between treatment and comparison groups. Nor did individuals with improved treatment outcomes have greater reductions in medical costs. AOD treatment costs were not inversely related to subsequent medical costs, except for a subgroup with recent AOD treatment. In the interviewed sample, better treatment outcomes did not predict lower subsequent medical costs. Multiple treatment episodes may hold promise for producing cost-offsets.
Literature
1.
go back to reference Holder HD, Blose JO. Alcoholism treatment and total health care utilization and costs. A four-year longitudinal analysis of federal employees. Journal of the American Medical Association. 1986;256:1456–1460.PubMedCrossRef Holder HD, Blose JO. Alcoholism treatment and total health care utilization and costs. A four-year longitudinal analysis of federal employees. Journal of the American Medical Association. 1986;256:1456–1460.PubMedCrossRef
2.
go back to reference Holder HD, Blose JO. The reduction of health care costs associated with alcoholism treatment: a 14-year longitudinal study. Journal of Studies on Alcohol. 1992;53:293–302.PubMed Holder HD, Blose JO. The reduction of health care costs associated with alcoholism treatment: a 14-year longitudinal study. Journal of Studies on Alcohol. 1992;53:293–302.PubMed
3.
go back to reference Reiff S, Griffiths B, Forsythe AB, et al. Utilization of medical services by alcoholics participating in a health maintenance organization outpatient treatment program: three-year follow-up. Alcohol: Clinical and Experimental Research. 1981;5:559–562.CrossRef Reiff S, Griffiths B, Forsythe AB, et al. Utilization of medical services by alcoholics participating in a health maintenance organization outpatient treatment program: three-year follow-up. Alcohol: Clinical and Experimental Research. 1981;5:559–562.CrossRef
4.
go back to reference Cartwright WS. Cost–benefit analysis of drug treatment services: review of the literature. Journal of Mental Health Policy and Economics. 2000;3:11–26.PubMedCrossRef Cartwright WS. Cost–benefit analysis of drug treatment services: review of the literature. Journal of Mental Health Policy and Economics. 2000;3:11–26.PubMedCrossRef
5.
go back to reference Harwood HJ, Malhotra D, Villarivera C, et al. Cost effectiveness and cost benefit analysis of substance abuse treatment: A literature review. NEDS Contract No. 270-00-7078. 2002. Falls Church, VA, The Lewin Group. Harwood HJ, Malhotra D, Villarivera C, et al. Cost effectiveness and cost benefit analysis of substance abuse treatment: A literature review. NEDS Contract No. 270-00-7078. 2002. Falls Church, VA, The Lewin Group.
6.
go back to reference Holder HD. Alcoholism treatment and potential health care cost saving. Medical Care. 1987;25:52–71.PubMedCrossRef Holder HD. Alcoholism treatment and potential health care cost saving. Medical Care. 1987;25:52–71.PubMedCrossRef
7.
go back to reference Holder HD, Lennox RD, Blose JO. The economic benefits of alcoholism treatment: a summary of twenty years of research. Journal of Employee Assistance Research. 1992;1:63–81. Holder HD, Lennox RD, Blose JO. The economic benefits of alcoholism treatment: a summary of twenty years of research. Journal of Employee Assistance Research. 1992;1:63–81.
8.
go back to reference Jones KR, Vischi TR. Impact of alcohol, drug abuse and mental health treatment on medical care utilization. A review of the research literature. Medical Care. 1979;17(Suppl 2):1–82.PubMed Jones KR, Vischi TR. Impact of alcohol, drug abuse and mental health treatment on medical care utilization. A review of the research literature. Medical Care. 1979;17(Suppl 2):1–82.PubMed
9.
go back to reference Institute of Medicine. Broadening the Base of Treatment for Alcohol Problems. Washington DC: National Academy Press, 1990. Institute of Medicine. Broadening the Base of Treatment for Alcohol Problems. Washington DC: National Academy Press, 1990.
10.
go back to reference Goodman AC, Tilford JM, Hankin JR, et al. Alcoholism treatment offset effects: an insurance perspective. Medical Care Research Review. 2000;57:51–75.CrossRef Goodman AC, Tilford JM, Hankin JR, et al. Alcoholism treatment offset effects: an insurance perspective. Medical Care Research Review. 2000;57:51–75.CrossRef
11.
go back to reference Parthasarathy S, Weisner C, Hu TW, et al. Association of outpatient alcohol and drug treatment with health care utilization and cost: revisiting the offset hypothesis. Journal of Studies on Alcohol. 2001;62:89–97.PubMed Parthasarathy S, Weisner C, Hu TW, et al. Association of outpatient alcohol and drug treatment with health care utilization and cost: revisiting the offset hypothesis. Journal of Studies on Alcohol. 2001;62:89–97.PubMed
12.
go back to reference Kane RL, Wall M, Potthoff S, et al. The effect of alcoholism treatment on medical care use. Medical Care. 2004;42:395–402.PubMedCrossRef Kane RL, Wall M, Potthoff S, et al. The effect of alcoholism treatment on medical care use. Medical Care. 2004;42:395–402.PubMedCrossRef
13.
go back to reference Hoffmann NG, DeHart SS, Fulkerson JA. Medical care utilization as a function of recovery status following chemical addictions treatment. Journal of Addictive Diseases. 1993;12:97–108.PubMedCrossRef Hoffmann NG, DeHart SS, Fulkerson JA. Medical care utilization as a function of recovery status following chemical addictions treatment. Journal of Addictive Diseases. 1993;12:97–108.PubMedCrossRef
14.
go back to reference Freeborn DK, Pope CR. Promise and Performance in Managed Care: The Prepaid Group Practice Model. Baltimore, MD: The Johns Hopkins University Press, 1994. Freeborn DK, Pope CR. Promise and Performance in Managed Care: The Prepaid Group Practice Model. Baltimore, MD: The Johns Hopkins University Press, 1994.
15.
go back to reference Green CA, Polen MR, Dickinson DM, et al. Gender differences in predictors of initiation, retention, and completion in an HMO-based substance abuse treatment program. Journal of Substance Abuse Treatment. 2002;23:285–295.PubMedCrossRef Green CA, Polen MR, Dickinson DM, et al. Gender differences in predictors of initiation, retention, and completion in an HMO-based substance abuse treatment program. Journal of Substance Abuse Treatment. 2002;23:285–295.PubMedCrossRef
16.
go back to reference Green CA, Polen MR, Lynch FL, et al. Gender differences in outcomes in an HMO-based substance abuse treatment program. Journal of Addictive Diseases. 2004;23:47–70.PubMedCrossRef Green CA, Polen MR, Lynch FL, et al. Gender differences in outcomes in an HMO-based substance abuse treatment program. Journal of Addictive Diseases. 2004;23:47–70.PubMedCrossRef
17.
go back to reference McLellan AT, Kushner H, Metzger D, et al. The fifth edition of the Addiction Severity Index. Journal of Substance Abuse Treatment 1992;9:199–213.PubMedCrossRef McLellan AT, Kushner H, Metzger D, et al. The fifth edition of the Addiction Severity Index. Journal of Substance Abuse Treatment 1992;9:199–213.PubMedCrossRef
18.
go back to reference Hornbrook MC, Goodman MJ. Chronic disease, functional health status, and demographics: a multi-dimensional approach to risk adjustment. Health Services Research 1996;31:283–307.PubMed Hornbrook MC, Goodman MJ. Chronic disease, functional health status, and demographics: a multi-dimensional approach to risk adjustment. Health Services Research 1996;31:283–307.PubMed
19.
go back to reference SAS Institute Inc. SAS/STAT User's Guide, Version 8, Volumes 1, 2, and 3. Cary, NC: SAS Institute Inc., 2000. SAS Institute Inc. SAS/STAT User's Guide, Version 8, Volumes 1, 2, and 3. Cary, NC: SAS Institute Inc., 2000.
20.
go back to reference Diehr P, Yanez D, Ash A, et al. Methods for analyzing health care utilization and costs. Annual Review of Public Health. 1999;20:125–144.PubMedCrossRef Diehr P, Yanez D, Ash A, et al. Methods for analyzing health care utilization and costs. Annual Review of Public Health. 1999;20:125–144.PubMedCrossRef
21.
go back to reference Arbuckle JL, Wothke W. Amos 4.0 User's Guide. Chicago, IL: SmallWaters Corporation, 1999. Arbuckle JL, Wothke W. Amos 4.0 User's Guide. Chicago, IL: SmallWaters Corporation, 1999.
22.
go back to reference McLellan AT, Lewis DC, O'Brien CP, et al. Drug dependence, a chronic medical illness: implications for treatment, insurance, and outcomes evaluation. Journal of the American Medical Association 2000;284:1689–1695.PubMedCrossRef McLellan AT, Lewis DC, O'Brien CP, et al. Drug dependence, a chronic medical illness: implications for treatment, insurance, and outcomes evaluation. Journal of the American Medical Association 2000;284:1689–1695.PubMedCrossRef
23.
go back to reference Sturm R. Economic grand rounds: the myth of medical cost-offset. Psychiatric Services 2001;52:738–740.PubMedCrossRef Sturm R. Economic grand rounds: the myth of medical cost-offset. Psychiatric Services 2001;52:738–740.PubMedCrossRef
24.
go back to reference McLellan AT, McKay JR, Forman R, et al. Reconsidering the evaluation of addiction treatment: from retrospective follow-up to concurrent recovery monitoring. Addiction 2005;100:447–458.PubMedCrossRef McLellan AT, McKay JR, Forman R, et al. Reconsidering the evaluation of addiction treatment: from retrospective follow-up to concurrent recovery monitoring. Addiction 2005;100:447–458.PubMedCrossRef
Metadata
Title
Medical Cost-Offset Following Treatment Referral for Alcohol and Other Drug Use Disorders in a Group Model HMO
Authors
Michael R. Polen, PhD
Donald K. Freeborn, PhD
Frances L. Lynch, PhD
John P. Mullooly, PhD
Daniel M. Dickinson, MA, CADC
Publication date
01-07-2006
Publisher
Springer US
Published in
The Journal of Behavioral Health Services & Research / Issue 3/2006
Print ISSN: 1094-3412
Electronic ISSN: 2168-6793
DOI
https://doi.org/10.1007/s11414-006-9020-8

Other articles of this Issue 3/2006

The Journal of Behavioral Health Services & Research 3/2006 Go to the issue