This lecture provides an intro to health economics and its utilization in the construction of a medical
intervention value story.
“What is your value story?”, is a repeatedly asked question which is usually raised by both in-licensors throughout due diligence or by governmental/private payer during health technology
assessment, when a company requests coverage and reimbursement.
A value story, describes the relationship between the clinical outcome of a medical intervention and
the costs associated with the intervention and is developed and analysed via Health economics tools
Health economics and reimbursement planning should occur early in the stage of clinical
development. When economic evaluation is incorporated in clinical trials, the inventor uses a
consistent set of data collected within the trial, or by projection from this data, and avoids having to
incorporate unrelated (and potentially inconsistent) data from many different sources.
The lecture is designed to expose managers from the healthcare industry to the basics of health economics and covers the following:
• What is health economics?
• Main types of economic evaluation needed for health technology assessment
• Payers approach toward different models
• Collection of health economic data alongside clinical trials