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The costs of hazardous alcohol consumption in Germany

Author

Listed:
  • Tobias Effertz

    (Universität Hamburg)

  • Frank Verheyen

    (WINEG, Wissenschaftliches Institut der TK für Nutzen und Effizienz im Gesundheitswesen)

  • Roland Linder

    (WINEG, Wissenschaftliches Institut der TK für Nutzen und Effizienz im Gesundheitswesen)

Abstract

Hazardous alcohol consumption in Germany is a main threat to health. By using insurance claim data from the German Statutory Health Insurance and a classification strategy based on ICD10 diagnoses-codes we analyzed a sample of 146,000 subjects with more than 19,000 hazardous alcohol consumers. Employing different regression models with a control function approach, we calculate life years lost due to alcohol consumption, annual direct and indirect health costs, and the burden of pain and suffering measured by the Charlson-Index and assessed pain diagnoses. Additionally, we simulate the net accumulated premium payments over expenses in the German Statutory Health Insurance and the Statutory Pension Fund for hazardous alcohol consumers from a lifecycle perspective. In total, €39.3 billion each year result from hazardous alcohol consumption with an average loss of 7 years in life expectancy. Hazardous alcohol consumers clearly do not "pay their way" in the two main German social security systems and also display a higher intangible burden according to our definitions of pain and suffering.

Suggested Citation

  • Tobias Effertz & Frank Verheyen & Roland Linder, 2017. "The costs of hazardous alcohol consumption in Germany," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 18(6), pages 703-713, July.
    • Handle: RePEc:spr:eujhec:v:18:y:2017:i:6:d:10.1007_s10198-016-0822-1
    DOI: 10.1007/s10198-016-0822-1
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    References listed on IDEAS

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    Cited by:

    1. Mehrzad B. Baktash & John S. Heywood & Uwe Jirjahn, 2022. "Performance pay and alcohol use in Germany," Industrial Relations: A Journal of Economy and Society, Wiley Blackwell, vol. 61(4), pages 353-383, October.
    2. Błażej Łyszczarz, 2019. "Production Losses Associated with Alcohol-Attributable Mortality in the European Union," IJERPH, MDPI, vol. 16(19), pages 1-14, September.
    3. Alexander S. Skorobogatov, 2021. "The effect of alcohol sales restrictions on alcohol poisoning mortality: Evidence from Russia," Health Economics, John Wiley & Sons, Ltd., vol. 30(6), pages 1417-1442, June.

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    More about this item

    Keywords

    Hazardous alcohol consumption; Cost-of-illness; Cost of substance abuse; Pain and suffering; Insurance claim data;
    All these keywords.

    JEL classification:

    • I1 - Health, Education, and Welfare - - Health
    • D6 - Microeconomics - - Welfare Economics

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