Financial Budget Impact Analysis for Reimbursement of a 100% Whey-Based Partially-Hydrolyzed Infant Formula in Prevention of Atopic Dermatitis in Germany

Abstract

Background and aims: The present financial budget impact analysis compares a specific brand of 100% whey-based partially-hydrolyzed formula (PHF-W, Nestle, Switzerland) to standard cow's milk formula (SF), other brands of partially-hydrolyzed formula (O-PHF) and extensively-hydrolyzed whey-based formula (EHF-W) in the prevention of atopic dermatitis for a population of at-risk infants who are not exclusively breastfed in Germany. Methods: Market shares of PHF-W, O-PHF, and EHF-W, as well as acquisition prices, were obtained from a 2010 market survey using sales data from German pharmacies and estimated for a 3-year time horizon. The analytic model based on birth cohorts starting in 2011, was built to compare PHF-W with SF, O-PHF and EHF-W in not exclusively breastfed at-risk German infants, from the Ministry of Health (MOH) perspective. Different quantities of formula were assumed to be consumed between the exclusively and partially formula fed groups, with different quantities in each of the first six months of life. PHF-W and EHF-W were assumed to be covered by MOH, while SF and O-PHF would be covered by family. Results: The market shares in 2011 for PHF-W, O-PHF, EHF-W and SF were estimated as 5.17%, 11.46%, 0.30% and 83.06% respectively, with a yearly growth rate of 30% for PHF-W and 6% for EHF. Total costs of formula for each starting cohort, including EHF used in treatment, were €11.6M, €0.7M, €19.9M, and €1.8M for PHF-W, O-PHF, SF, and EHF-W respectively. Conclusion: PHF-W use increased but yielded €240 000 in potential savings in EHF costs from the MOH perspective.