DIABETIC PATIENTS' WILLINGNESS TO PAY FOR DIABETES EDUCATION BY PHARMACISTS- VALIDITY OF CONTINGENT VALUATION METHOD
Author(s)
Suh DC, Powers C, Shin H, Rutgers University, Piscataway, NJ, USA
OBJECTIVES: This study was conducted to measure diabetic patients' willingness-to-pay (WTP) for diabetes education provided by pharmacists utilizing the contingent valuation method, to determine factors which influence patients' WTP, and to test starting point bias and scope effects. METHODS: Diabetic patients, randomly selected at 2 hospital endocrinology clinics, were interviewed to measure their WTP for education resulting in 3 hypothetical risk-reductions in diabetic complications (reduction from 75% without education to 37.5% with education, 50%(r)25%, and 25%(r)12.5%) using a bidding game with randomly assigned starting amounts ($10/$40). Sample mean(SM) and mean based on log-normal distribution (LNM) were calculated. Mean WTP was calculated using 2-part model (PM) with a smear estimator, and Heckman 2-stage model(HM) for sample selection correction, which were further used to determine significant factors influencing WTP amount. RESULTS: A total of 283 patients were interviewed. Patients' mean age and household income was 53.5 years and $60,202 respectively. In total, 59% of patients were willing-to-pay. SMs were $36±$49 for 75%?37.5%; $35±$50 for 50%?25%; and $26±$42 for 25%?12.5%. SMs were similar to LNMs. Means based on HM were $41±$23 for the 75%?37.5%, $38±$19 for 50%?25%; and $27±$16 for 25%?12.5%, which were nearly the same as means calculated based on PM. In HM model, patients were willing-to-pay significantly larger amounts as risk-reduction level increased (P<0.001), as starting amount increased (P<0.001), and if neuropathy was present (P<0.001). Patients' age, race, hemoglobin A1c, type of diabetes, and history of retinopathy were not significant factors in predicting WTP amount. CONCLUSIONS: Patients, on average, were willing-to-pay between $26 and $41 for pharmacist provided diabetes education, depending on risk reduction level (scope effect) and starting amounts (starting point bias). The contingent valuation method is useful for determining the economic value of pharmacists' education. Further investigations are recommended to elucidate factors influencing patients' WTP for a variety of other services.
Conference/Value in Health Info
2003-05, ISPOR 2003, Arlington, VA, USA
Value in Health, Vol. 6, No. 3 (May/June 2003)
Code
QL3
Topic
Economic Evaluation
Topic Subcategory
Cost-comparison, Effectiveness, Utility, Benefit Analysis
Disease
Diabetes/Endocrine/Metabolic Disorders