To evaluate the cost-effectiveness of operative versus non-operative management of displaced intra-articular calcaneal fractures (DIACFS), a model was constructed based on a randomized clinical trial. Model outputs were costs and quality-adjusted life years (QALYs). When a societal perspective was taken (i.e. productivity losses were included), operative management was less costly and more effective than non-operative care. Sensitivity analysis revealed that cost-effectiveness was highly dependent on the estimates of productivity losses. When productivity losses were excluded, the increase in cost of operative treatment was $2,700 for an incremental gain of .06 QALYs, giving an incremental cost-utility (CU) ratio of $44,000 per QALY gained.

To evaluate the cost-effectiveness of operative versus non-operative management of displaced intra-articular calcaneal fractures (DIACFs).

A decision tree was constructed to model the effect on costs and quality-adjusted life years (QALYs) of operative versus non-operative management for DIACFs. Complication rate, fusion rate, patient survival and utilities, and productivity losses were estimated from a recent prospective randomized control trial. Four-year costs were estimated from the center treating 73% of the patients in the trial. A societal perspective was used. Future costs and benefits were discounted at 5% and reported in 2002 Canadian Dollars. One-way and multi-way sensitivity analysis was performed on all variables using plausible ranges.

When productivity losses were included, operative management was less costly ($13,000 saving) and had a gain of .06 QALYs (based on improvements in health related quality of life), making it the dominant strategy compared to non-operative treatment. The cost-effectiveness was most sensitive to the return to work estimates. When productivity losses were excluded, the increase in cost of operative treatment was $2,700 for a .06 QALY gain, giving an incremental cost-utility (CU) ratio of $44,000 per QALY gained.

The treatment of the DIACF has long a source of uncertainty in orthopedic surgery. A recent prospective, randomized, trial concluded that operative management provided no improvement over non-operative care. The cost-effectiveness of operative management indicates that it is a moderately economically attractive treatment (a CU ratio of < $50,000). Further exploration of the impact of productivity losses is required.

Funding: Dr. Brauer is supported by a grant from Alberta Heritage Foundation

Introduction and Aims: Treatment of the displaced intra-articular calcaneal fracture (DIACF) has long been a source of uncertainty in orthopaedic surgery. To evaluate the cost-effectiveness of operative versus non-operative management of this fracture, a model was constructed based on a randomised clinical trial. Model outputs were costs and quality-adjusted life years (QALYs).

Method: A decision tree was constructed to model the effect on costs and quality-adjusted life years (QALYs) of operative versus non-operative management for DIACFs. Complication rate, fusion rate, survival data, productivity losses and patient utilities were estimated from a recent prospective randomised control trial. Four-year costs were estimated from the centre treating 73% of the patients. A societal perspective was used in the primary analysis. Future costs and benefits were discounted at 5% and reported in 2002 Canadian dollars. One-way sensitivity analysis and a multi-way Monte Carlo simulation were performed incorporating all ranges of values for the utilities, costs and probabilities.

Results: When productivity losses were included, operative management was less costly ($13,000 cost saving) and had an incremental gain of .06 QALYs, based on improvements in health-related quality of life, thus, making it the dominant strategy compared to non-operative treatment. The cost-effectiveness was most sensitive to the estimates of the productivity losses. When productivity losses were excluded, the increase in cost of operative treatment was $2700 for an incremental gain of .06 QALYs, giving an incremental cost-utility (CU) ratio of $44,000 per QALY gained. The outcome of the analysis remained stable with the remainder of the one-way and multi-way sensitivity analysis. Of the 2000 iterations, with Monte Carlo simulation when productivity losses were included, 80% resulted in cost-effectiveness ratios less than $50,000 per QALY gained for operative treatment. When productivity losses were excluded, 53% of the 2000 iterations resulted in cost-effectiveness ratios less than $50,000.

Conclusion: The treatment of the DIACF has long been a source of uncertainty in orthopaedic surgery. The cost-effectiveness of operative management indicates that it is a moderately economically attractive treatment (a CU ratio of < $50,000). Further exploration of the impact of productivity losses is required.