The cost of radiotherapy in a decade of technology evolution

• Published in: Radiotherapy and oncology Vol. 102; no. 1; pp. 148 - 153
• Main Authors: Van de Werf, Evelyn, Verstraete, Jan, Lievens, Yolande
• Format: Journal Article
• Language: English
• Published: Ireland Elsevier Ireland Ltd 01.01.2012
• Subjects: Accounting - methods; Activity-based costing; Algorithms; Benchmarking; Cost Allocation - methods; Cost calculation; Costs and Cost Analysis; Diffusion of Innovation; Hematology, Oncology and Palliative Medicine; Humans; Intensity modulated radiation therapy; Models, Economic; Quality assurance; Radiation Oncology - economics; Radiation Oncology - trends; Radiotherapy; Radiotherapy - economics; Radiotherapy - trends; Cost calculation; Activity-based costing; Quality assurance; Intensity modulated radiation therapy; Radiotherapy
• ISSN: 0167-8140; 1879-0887
• DOI: 10.1016/j.radonc.2011.07.033

Abstract Purpose To quantify changes in radiotherapy costs occurring in a decade of medical–technological evolution. Materials and methods The activity-based costing (ABC) model of the University Hospitals Leuven (UHL) radiotherapy (RT) department was adapted to current RT standards. It allocated actual resource costs to the treatments based on the departmental work-flow and patient mix in 2009. A benchmark with the former model analyzed the cost increases related to changes in RT infrastructure and practice over 10 years. Results A considerable increase in total RT costs was observed, resulting from higher capital investments (96%) and personnel cost (103%), the latter dominating the total picture. Treatment delivery remains the most costly activity, boosted by the cost of improved quality assurance (QA), 23% of total product costs, coming along with more advanced RT techniques. Hence, cost increases at the product level are most obvious for complex treatments, such as intensity-modulated radiotherapy (IMRT), representing cost increases ranging between 38% and 88% compared to conformal approaches. Conclusions The ABC model provides insight into the financial consequences of evolving technology and practice. Such data are a mandatory first step in our strive to prove RT cost-effectiveness and thus support optimal reimbursement and provision of radiotherapy departments.