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Kim, Lee, Lee, Shin, and Lee: A Cost Benefit Analysis of Individual Home Visiting Health Care
Original Article

Journal of Korean Academy of Community Health Nursing 2010; 21(3): 362-373.

Published online: 4 April 2014

DOI: https://doi.org/10.12799/jkachn.2010.21.3.362

A Cost Benefit Analysis of Individual Home Visiting Health Care

Jinhyun Kim1, Taejin Lee2, Jinhee Lee3, Sangjin Shin4, Eunhee Lee5

1Associate Professor, College of Nursing, The Research Institute of Nursing Science, Seoul National University, Korea.

2Associate Professor, Graduate School of Public Health, Seoul National University, Korea.

3Researcher, Health Insurance Review Agency, Korea.

4Researcher, National Evidence-based Healthcare Collaborating Agency, Korea.

5Doctoral Student, College of Nursing, Seoul National University, Korea.

Address reprint requests to: Shin, Sangjin, National Evidence-based Healthcare Collaborating Agency, 8F Changkyung Bldg, 28-7 Wonnam-dong, Jongno-gu, Seoul 110-450, Korea. Tel: 80-2-2174-2700, Fax: 80-2-727-4918, jshin@neca.re.kr

Received 2 August 2010       Revised 20 September 2010       Accepted 27 September 2010

© 2013 Korean Academy of Community Health Nursing

(open-access):

This is an Open Access article distributed under the terms of the Creative Commons Attribution Non-Commercial License (http://creativecommons.org/licenses/by-nc/3.0/) which permits unrestricted non-commercial use, distribution, and reproduction in any medium, provided the original work is properly cited.

Abstract

Purpose

The purpose of this study is to evaluate the costs and benefits of individual home visiting health care using secondary data and literature review.

Methods

The total number of subjects was 1,008,837. A specific program was classified into disease management, care of infant, child and women, or elderly care. The costs and effects of a program were identified from a societal perspective, and the effects were converted into monetary terms or benefits. The total cost was calculated in the way that medical expenses, travel costs and productivity losses were offset by the decrease in benefits and thus only the program budget was included in the total cost.

Results

The total program cost was 47.6 billion won per year and the total annual benefit was estimated at 435.6 billion won. The benefits of arthritis management were the biggest among disease management programs. The net benefit was 388.0 billion won per year and the benefit/cost ratio was 9.16.

Conclusion

Home visiting health care was validated to be economically effective. It made a positive contribution to improving the health status of vulnerable populations and reducing medical expenses. These results suggest that home visiting care should be extended more broadly to vulnerable populations.

Keywords: Home visit, Cost-benefit analysis

Figures and Tables

Figure 1
Framework.
jkachn-21-362-g001
Table 1
General Characteristics of Subject in Individual Home Visiting Health Care (N=1,008,837)
jkachn-21-362-i001

†Multiple registration.

Table 2
Cost of the Individual Home Visiting Health Care in 2007
jkachn-21-362-i002
Table 3
Benefit of the Individual Home Visiting Health Care in 2007
jkachn-21-362-i003

SME=savings in medical expense; PC=prevention of complication; STC=savings in travel cost; SPL=savings in productivity loss; DM=diabetes mellitus; CD=cerebrovascular disease; UI=urinary incontinence.

†50% reduction of admission days or outpatient days was assumed; ‡It was assumed that the utilization rate of individual home visiting care is 25%.

Table 4
Cost-benefit Analysis and Sensitivity Analysis
jkachn-21-362-i004

†This indicates the results of the individual home visiting health care program is provided for the patients with hypertension and diabetes mellitus.

Notes

This research was funded by Korea Institute for Health and Social Affairs in 2008.

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