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Effects of Depression on the Subsequent Year’s Healthcare Expenditures Among Older Adults: Two-Year Panel Study

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Abstract

This study investigated changes in depression status over 2 years and examined whether having depression in Year 1 is associated with greater healthcare expenditures in Year 2 among community-dwelling older adults. This study analyzed the Medical Expenditure Panel Survey (Panel 13, 2008–2009) for a nationally representative sample of 1,740 older adults (65+). The two self-reported depression measures used were the ICD-9-CM (depression) and Patient Health Questionnaire-2 (potential depression, scores 3 or higher). Using the combined two-part models, additional healthcare costs at Year 2 associated with the Year 1 depression status were calculated by the service type after adjusting for predisposing, enabling, and need covariates assessed at Year 2. Over 7.9 % of older adults reported depression and an additional 6.5 % presented with potential depression. The ICD-9 depression status was relatively stable; 84 % continued reporting depression during Year 2. Those with depression at Year 1 spent $3,855 more on total healthcare, $1,053 more on office-based visits, and $929 more on prescription drugs during Year 2 compared with non-depressed people after controlling for other covariates, including healthcare needs (p < .05). While potential depression was less persistent (31.1 % remained potentially depressed at Year 2), potential depression was associated with lower socio-economic status and greater healthcare expenditures from home health services and emergency department visits during Year 2. These results indicate the importance of monitoring depression in older adults, considering its impacts on the increases in healthcare expenditures in the following year even after controlling for co-occurring health conditions.

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Acknowledgments

This study was supported by the John A. Hartford Foundation and the Gerontological Society of America through the Hartford Geriatric Social Work Faculty Scholars Program.

Conflict of interest

All authors declare that they have no conflict of interest.

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Authors and Affiliations

  1. College of Social Work, The University of Tennessee, 322 Henson Hall, 1618 Cumberland Ave., Knoxville, TN, 37996-3333, USA

    Sunha Choi

  2. Graduate School of Social Work, University of Denver, Denver, USA

    Leslie Hasche

  3. School of Social Work, College of Health Professions and Social Work, Temple University, Philadelphia, USA

    Duy Nguyen

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  1. Sunha Choi
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  2. Leslie Hasche
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  3. Duy Nguyen
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Correspondence to Sunha Choi.

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Choi, S., Hasche, L. & Nguyen, D. Effects of Depression on the Subsequent Year’s Healthcare Expenditures Among Older Adults: Two-Year Panel Study. Psychiatr Q 86, 225–241 (2015). https://doi.org/10.1007/s11126-014-9324-4

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  • DOI: https://doi.org/10.1007/s11126-014-9324-4

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