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Cost effectiveness analysis Often multiple treatments,with varying costs, can be used to treat a given disease. ·In such cases How do insurance companies decide which treatments,if any,to provide coverage for? How do patients decide between an expensive and highly effective treatment and a low-cost treatment that is less effective? Bhattacharya,Hyde and Tu-HealthEconomicsBhattacharya, Hyde and Tu – Health Economics Cost effectiveness analysis • Often multiple treatments, with varying costs, can be used to treat a given disease. • In such cases • How do insurance companies decide which treatments, if any, to provide coverage for? • How do patients decide between an expensive and highly effective treatment and a low-cost treatment that is less effective?
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