A Longitudinal Analysis of the Lifetime Cost of Dementia
Article first published online: 15 DEC 2011
© Health Research and Educational Trust
Health Services Research
Volume 47, Issue 4, pages 1660–1678, August 2012
How to Cite
Yang, Z., Zhang, K., Lin, P.-J., Clevenger, C. and Atherly, A. (2012), A Longitudinal Analysis of the Lifetime Cost of Dementia. Health Services Research, 47: 1660–1678. doi: 10.1111/j.1475-6773.2011.01365.x
- Issue published online: 5 JUL 2012
- Article first published online: 15 DEC 2011
- Emory Alzheimer's Disease Research Center. Grant Number: P50 AG025688
- Health care costs;
Estimate the lifetime cost of dementia to Medicare and Medicaid.
1997–2005 Medicare Current Beneficiary Survey.
A multistage analysis was conducted to first predict the probability of developing dementia by age and then predict the annual Medicare/Medicaid expenditures conditional on dementia status. A cohort-based simulation was conducted to estimate the lifetime cost of dementia.
The average lifetime cost of dementia per patient for Medicare is approximately $12,000 (2005 dollars) and for Medicaid about $11,000. Dementia onset at older age leads to shorter duration and lower lifetime cost. Increased educational level leads to longer longevity, more dementia cases per cohort, but shorter duration, and lower lifetime cost per patient, which could offset the cost increase induced by more dementia cases. Increased body mass index leads to more dementia cases per cohort and higher lifetime cost per patient.
Net cost of dementia is lower than the estimates from cross-sectional studies. Promoting healthy lifestyle to reverse the obesity epidemic is a short-term priority to confront the epidemic of dementia in the near future. Promoting higher education among the younger generation is a long-term priority to mitigate the effect of population aging on the dementia epidemic in the distant future.