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Impact of new medical technologies on health expenditures in Israel 2000–07

Published online by Cambridge University Press:  01 October 2007

Mordechai Rabinovich ,
Francis Wood  and
Joshua Shemer
Mordechai Rabinovich
Affiliation:
Maccabi Healthcare Services and Ben-Gurion University of the Negev
Francis Wood
Affiliation:
Maccabi Healthcare Services
Joshua Shemer
Affiliation:
Gertner Institute for Epidemiology and Health Policy Research and Tel-Aviv University
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Abstract

Objectives: The aim of this study was to estimate the impact of new medical technologies on public healthcare expenditures in Israel over the period 2000–07.

Methods: For each year, government estimates for the costs of new technologies recommended as high-priority for public funding were summarized. The ratio of projected costs of these technologies to total public healthcare expenditures was calculated and compared with actual governmental budget allocations for new technologies.

Results: Funding all new high-priority medical technologies would have increased healthcare expenditures by 2.1 percent per year. Government allocations for new technologies raised expenditures by 1.0 percent per year.

Conclusions: New medical technologies significantly increase healthcare expenditures in Israel. Budgetary constraints have reduced their actual impact by 52 percent. This study indicates the need for an annual addition of 2 percent to public healthcare budget for funding new high-priority technologies.

Keywords

Healthcare expendituresNational list of health servicesNew medical technologies
Type
GENERAL ESSAYS
Information
International Journal of Technology Assessment in Health Care , Volume 23 , Issue 4 , October 2007 , pp. 443 - 448
Copyright
Copyright © Cambridge University Press 2007

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References

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