Health Economic Evaluation of the Psychiatric Emergency Response Team (PAM) in Stockholm County
Abstract Background: The Psychiatric Response Team (the PAM unit) started as a suicide prevention project during the spring of 2015 to handle acute psychiatric patients previously handled by the police. Since 2017, the PAM has been a permanent service within the health care organization of Stockholm County. Method: Health economic estimates, based on different scenarios, were designed to investigate the economic evaluation of the PAM unit from both a health-care and a societal perspective. Another aim was to present an economic model that can be applied and developed in future studies to evaluate suicide-prevention projects. Potential savings achieved by the PAM unit were examined by measuring direct and indirect costs based on three different scenarios: restrictive, likely and optimistic. Costs were compared to the potential savings from changes in processes using the PAM unit. Estimates of potential savings from production losses were made using the friction-cost and human-capital methods. An estimate of human value was made using figures from previous studies in traffic-injury prevention. Different theoretical health economic methods of calculation are presented. Results: Total cost for the PAM unit during its first two years of operation was 13.2 million Swedish kronor (SEK). Comparatively, direct savings from a health-care perspective were estimated at 2.8-5.1 million SEK, while direct savings from a societal perspective were estimated at 5.9-10.6 million SEK. The estimate of indirect savings differs depending on approach adopted: from 1.0-1.5 million SEK (friction-cost) to 52.0-103.9 million SEK (human-capital). Further, if estimates of human value are included, there are additional savings ranging from 52.3 to 82.1 million SEK. Conclusion: The direct cost saving of the PAM unit, estimated on different scenarios, does not make it viable from a purely economic perspective. However, there are large indirect cost savings from avoidance of future production losses and savings in human value. The rescuing of a single patient from suicide by the PAM unit during one year would, under most estimated scenarios, justify the total cost of the intervention.