Concepedia

TLDR

Most third‑party payors fund cochlear implantation, but some do not because of a lack of cost‑effectiveness data, a gap that cost‑utility analysis can address. The cost per QALY for the cochlear implant was determined using clinical cost data and a health‑utility outcome model based on the established communication gains attained with the device. The cochlear implant costs about $15,600 per QALY, which is favorable compared to other medical interventions such as coronary artery bypass grafting, implantable defibrillator, and cardiac transplantation, and falls within the cost‑effectiveness range accepted by the American medical system.

Abstract

Although most third-party payors presently fund cochlear implantation, some do not, and many cite the current lack of cost-effectiveness data as a major concern. Cost-utility analysis is a widely used method of medical technology assessment that permits cost-effectiveness comparisons between medical interventions by determining the cost per quality-adjusted life-year (QALY) they provide. The cost per QALY for the cochlear implant was determined using clinical cost data and a health-utility outcome model based on the established communication gains attained with the device. Cochlear implantation costs approximately $15,600 per QALY provided. Sensitivity analysis, a technique that systematically varies the assumptions underlying the calculations, favorably with other medical interventions, such as coronary artery bypass grafting ($10,431) for three-vessel disease, $64,033 for single-vessel disease), the implantable defibrillator ($29,200), and cardiac transplantation ($38,970). This analysis indicates that the cochlear implant lies well within the cost-effectiveness range currently accepted by the American medical system.