INTEGRATING MEDICINES AND MEDICAL SERVICES IN REAL-WORLD VALUE ASSESSMENT: EVIDENCE FROM SUBCUTANEOUS ONCOLOGY FORMULATIONS IN A DAY CARE SETTING
Author(s)
xiaomeng Jiang, Msc, YUNHAN WANG, BA, Bao Liu, ..
Department of Health Economics, School of Public Health, Fudan University, Shanghai, China.
Department of Health Economics, School of Public Health, Fudan University, Shanghai, China.
OBJECTIVES: Although value-based reimbursement increasingly emphasizes real-world outcomes, medicines and medical services are often evaluated separately, leaving the service-related mechanisms through which innovative medicines generate value insufficiently examined. This study uses innovative subcutaneous (SC) oncology formulations administered in a day care setting to assess how medicines and associated medical services jointly produce value in practice, and whether current payment mechanisms reflect corresponding service resource inputs.
METHODS: We conducted a mixed-methods, real-world study in an oncology day care setting at a tertiary hospital in China. Quantitative operational data were analyzed to evaluate system efficiency. Qualitative process mapping and micro-costing were informed by semi-structured interviews with healthcare professionals, focusing on drug preparation, administration, and post-administration monitoring. Service resource inputs and reimbursement levels under SC day care delivery were compared with traditional inpatient administration.
RESULTS: SC-enabled delivery generated substantial system-level value, with annual service volume increasing by 45.8% and CMI optimizing to 1.24 through released inpatient bed capacity. Patient out-of-pocket costs were substantially lower under SC day care delivery than under inpatient administration. However, this value was co-produced through intensified service inputs: unlike routine injections, SC administration required 10-15 minutes of skilled nursing time, including drug preparation, controlled delivery, and post-administration monitoring. Despite this, fee-for-service schedules reimbursed SC administration at fixed low-tier rates (approximately ¥3-5 per visit), capturing about 30% of comparable inpatient service revenue. Consequently, the service-side contribution to value generation remained financially invisible.
CONCLUSIONS: Innovative therapies generate real-world value through the joint contribution of medicines and intensified medical services. Current payment mechanisms structurally undervalue the service component, creating a disincentive for providers. Integrated value assessment frameworks are essential to align reimbursement with the true costs of value co-production and support the sustainable adoption of innovation.
METHODS: We conducted a mixed-methods, real-world study in an oncology day care setting at a tertiary hospital in China. Quantitative operational data were analyzed to evaluate system efficiency. Qualitative process mapping and micro-costing were informed by semi-structured interviews with healthcare professionals, focusing on drug preparation, administration, and post-administration monitoring. Service resource inputs and reimbursement levels under SC day care delivery were compared with traditional inpatient administration.
RESULTS: SC-enabled delivery generated substantial system-level value, with annual service volume increasing by 45.8% and CMI optimizing to 1.24 through released inpatient bed capacity. Patient out-of-pocket costs were substantially lower under SC day care delivery than under inpatient administration. However, this value was co-produced through intensified service inputs: unlike routine injections, SC administration required 10-15 minutes of skilled nursing time, including drug preparation, controlled delivery, and post-administration monitoring. Despite this, fee-for-service schedules reimbursed SC administration at fixed low-tier rates (approximately ¥3-5 per visit), capturing about 30% of comparable inpatient service revenue. Consequently, the service-side contribution to value generation remained financially invisible.
CONCLUSIONS: Innovative therapies generate real-world value through the joint contribution of medicines and intensified medical services. Current payment mechanisms structurally undervalue the service component, creating a disincentive for providers. Integrated value assessment frameworks are essential to align reimbursement with the true costs of value co-production and support the sustainable adoption of innovation.
Conference/Value in Health Info
2026-05, ISPOR 2026, Philadelphia, PA, USA
Value in Health, Volume 29, Issue S6
Code
PT4
Topic
Health Policy & Regulatory
Topic Subcategory
Pricing Policy & Schemes
Disease
No Additional Disease & Conditions/Specialized Treatment Areas, SDC: Oncology