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Cost-Effectiveness Analysis of Telemedicine for Primary Healthcare Delivery in the Amansie-West District, Ghana
Abstract
The study aimed at investigating the cost-effectiveness of telemedicine for primary health care in the Amansie-West District.
A cost-effectiveness analysis was conducted using a study population of four primary healthcare sites. The evaluation was retrospective (January-December, 2013) and was conducted from the provider’s perspective. Capital assets were annuitized at a 3% discount rate. Data on the costs of telemedicine and the conventional primary healthcare were quantified manually. The annuitization of capital outlays and Incremental Cost Effectiveness Ratio (ICER) and Marginal Cost Effectiveness Ratio (MCER) calculations were also done with the assistance of CEA specific software. Sensitivity analysis was performed to assess robustness of the model.
Annualized total costs of $305,042.93 and $227,006.90 were associated with the provision of primary healthcare via the conventional mode and telemedicine respectively. Telemedicine was both cost-effective and cost saving with an ICER -$351.75. With an assumption of 50% utilization of telemedicine services showed a MCER of $293.26; indicating a 77.78% reduction in cost per effectiveness.
The pilot telemedicine project in the Amansie-West District is cost-effective cost saving and worth expanding to cover the entire District.
