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Estimating the Cost Savings Due to the Effect of Kremezin in Delaying the Initiation of Dialysis Treatments among Patients with Chronic Renal Failure  

Cho, Woo-Hyun (Department of Preventive Medicine, College of Medicine, Yonsei University)
Lee, Sun-Mi (Department of Public Health, Graduate School of Yonsei University)
Kim, Hyung-Jong (Department of Internal Medicine, College of Medicine, Pochon Cha University)
Lee, Ho-Yong (Department of Internal Medicine, College of Medicine, Yonsei University)
Woo, Tae-Wook (Pharmaceutical Business Unit, Marketing Department, CJ Corporation)
Kang, Hye-Young (Graduate School of Public Health, Yonsei University)
Publication Information
Journal of Preventive Medicine and Public Health / v.39, no.2, 2006 , pp. 149-158 More about this Journal
Abstract
Objectives : We wanted to evaluate the economic value of a pharmaceutical product, Kremezin, for treating patients with chronic renal failure (CRF) by estimating the amount of cost savings due to its effect for delaying the initiation of dialysis treatments. Methods : We defined a conventional treatment for CRF accompanied by Kremezin therapy as 'the treatment group' and only conventional treatment as 'the alternative group.' The types of costs included were direct medical and nonmedical costs and costs of productivity loss. The information on the effect of Kremezin was obtained from the results of earlier clinical studies. Cost information was derived from the administrative data for 20 hemodialysis and 20 peritoneal dialysis patients from one tertiary care hospital, and also from the administrative data of 10 hemodialysis patients from one free-standing dialysis center. Per-capita cost savings resulting from Kremezin therapy were separately estimated for the cases with delay for the onset of hemodialysis and the cases with immediate performance of peritoneal dialysis. By computing the weighted average for the cases of hemodialysis and peritoneal dialysis, the expected per-capita cost savings of a patient with CRF was obtained. Using a discount rate of 5%, future cost savings were converted to the present value. Results : The present value of cumulative cost savings per patient with CRF from the societal perspective would be $18,555,000{\sim}29,410,000$ Won or $72,104,000{\sim}112,523,000$ Won if Kremezin delays the initiation of dialysis by 1 or 4 years. Conclusions : The estimated amount of cost savings resulting from treating CRF patients with Kremezin confirms that its effect for delaying the onset of dialysis treatments has a considerable economic value.
Keywords
Chronic renal failure; Dialysis; Kremezin; Cost; Economic analysis;
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