At the American Thoracic Society (ATS) Conference 2018, Royal Philips (NYSE: PHG, AEX: PHIA), a global leader in health technology, announced new data suggesting that combining home oxygen therapy (HOT) with home non-invasive ventilation (HMV) as treatment for chronically hypercapnic COPD patients is more effective and less expensive than HOT alone.
Comparing the accumulated costs of devices, doctor visits, medication, and hospitalizations to HOT alone using a US economic model, HOT-HMV exhibited an average annual cost savings of $3,927 per patient .
“Patients who suffer from COPD and face frequent hospitalization due to their disease previously had limited treatment and care options available to them,” said Dr. Nicholas Hart, professor and clinical director of Lane Fox Respiratory Service, St Thomas’ Hospital in London. “We’re all searching for healthcare solutions that improve patient outcomes, but are also economically feasible – and scalable. For that reason, it’s exciting to see data showing we can achieve both of these through a combination of therapies.”
The data were gleaned by an economic analysis of a Philips-sponsored, randomized clinical trial of 116 patients in the UK carried out by respiratory experts at St Thomas’ Hospital in London. Results of the five-year, multi-center study were announced at ATS 2017 and published in the Journal of American Medical Association, but the potential health economic impact was previously unknown. The original trial data were used to develop an economic model from the US payer perspective. This analysis indicated the base-case incremental cost per quality adjusted life year (QALY) gained was negative $50,856, suggesting HOT-HMV as a dominant strategy to both save costs and improve quality of life compared to HOT alone. A similar UK analysis demonstrated greater device costs, a savings of £2,328 per patient  in doctor visits, medication and hospitalizations costs, and also indicated cost effectiveness.
“COPD greatly impacts patients’ quality of life due to the high potential for hospital admissions and disease burden, which results in increasing healthcare costs,” said Dr. David White, chief medical officer, Philips. “These findings support the use of oxygen paired with non-invasive ventilation in the home to improve the patient experience and pave the way for more cost effective care.”
 Total US costs were $24,458 for HOT-HMV and $28,386 for HOT alone. For HOT-HMV patients, costs were $4,298 for devices, $10,805 for doctor visits, $758 for medication, and $8,598 for exacerbations; corresponding costs for HOT alone were $1,582, $15,033, $1,088, and $10,683.
 Total UK costs were £17,403 for HOT-HMV and £16,885 for HOT alone. For HOT-HMV patients, costs were £6,679 for devices, £5,947 for doctor visits, £97 for medication, and £4,679 for exacerbations; corresponding costs for HOT alone were £2,684, £8,275, £106, and £5,821.