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Short-Term Economic Model Posted: 2/13/2004 Study Population: A diabetic population of a managed care organization (MCO) was studied to evaluate the short-term (1 year) direct cost as measured in MCO resource utilization. Cohorts were developed using age and gender demographics, and pharmacotherapy of the diabetes population. The National Health and Nutrition Examination (NHANES) survey was used to calculate hazard rates for cohorts and diabetes health states. Objectives: Estimate the current short-term cost of diabetes on a health plan specific level and demonstrate the cost impact of glycemic control. The economic model incorporates NHANES data, health states and hazard rates, MCO resource utilization to produce a final model, which estimates PMPY utilization and PMPM, cost of diabetics.

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