Prevention for a Healthier America

June 30, 2008
Report
Investments in Disease Prevention Yield Significant Savings, Stronger Communities

The Prevention for a Healthier America: Investments in Disease Prevention Yield Significant Savings, Stronger Communities report finds that a small strategic investment in disease prevention could result in significant savings in U.S. health care costs.

The Trust for America’s Health (TFAH) concludes that an investment of $10 per person per year in proven community-based programs to increase physical activity, improve nutrition, and prevent smoking and other tobacco use could save the country more than $16 billion annually within 5 years. This is a return of $5.60 for every $1 invested.

Out of the $16 billion, Medicare could save more than $5 billion, Medicaid could save more than $1.9 billion, and private payers could save more than $9 billion.

The report focuses on disease prevention programs that do not require medical care and target communities or at-risk segments of communities. Examples of these programs include providing increased access to affordable nutritious foods, increasing sidewalks and parks in communities, and raising tobacco tax rates.

The economic findings are based on a model developed by researchers at the Urban Institute and a review of evidencebased studies conducted by the New York Academy of Medicine. The researchers found that many effective prevention programs cost less than $10 per person, and that these programs have succeeded in lowering rates of diseases that are related to physical activity, nutrition, and moking. The evidence shows that implementing these programs in communities reduces rates of type 2 diabetes and high blood pressure by 5 percent within 2 years; reduces heart disease, kidney disease, and stroke by 5 percent within 5 years; and reduces some forms of cancer, arthritis, and chronic obstructive pulmonary disease by 2.5 percent within 10 to 20 years.

An investment of $10 per person per year in proven community-based disease prevention programs could yield net savings of:

  • More than $2.8 billion in 1-2 years, a return of 0.96, which means the country could recoup nearly $1 over and above the cost of the program for every $1 invested;
  • More than $16 billion within 5 years, an ROI of $5.60 for every $1; and
  • More than $18 billion within 10-20 years, an ROI of $6.20 for every $1.

To see full report, download PDF.