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Cost-benefit analysis

Assessing and understanding the clinical value of an EHMD

Not only do the clinical complications of prematurity take an emotional toll on families and the entire clinical care team, they also have significant financial impact.

Complication Average costs per patient
Bronchopulmonary dysplasia (BPD) $31,565 1
Late-onset sepsis $10,055 1
Retinopathy of prematurity (ROP) requiring surgery Up to $35,7492
Patent ductus arteriosus (PDA) without surgery $49,457 3
Parenteral nutrition (PN) per day $1,436 4
Medical necrotizing enterocolitis (NEC) $74,004 5
Surgical NEC $198,040 5

These values are for illustrative purposes. Cost calculations will vary by hospital. The incremental cost of these morbidities and interventions can substantially increase the cost of a NICU hospitalization.

Costs vary by hospitals. That’s why our certified health economics consultants are available to customize an analysis specific to your hospital. Complete the form below to start that process or call 1.888.776.5228.

Addressing comorbidities of prematurity and their associated costs

A study* published in the journal Breastfeeding Medicine found that an EHMD including Prolacta’s fortifiers, resulted in adjusted cost savings for medical NEC** and surgical NEC, over and above the average, of $74,004 and $198,040 per infant, respectively. The infants in the EHMD group also had lower expected costs of hospitalization, resulting in net direct savings of $8,167.17 per infant.5

Another study published in the Journal of Perinatology found 4.5 fewer days of hospitalization for very low birth weight (VLBW) infants receiving Prolacta’s products as part of an EHMD compared to VLBW infants receiving cow milk-based fortifiers.6

*Extremely premature infants, as defined in the study, are those born weighing <1250 grams.

**Necrotizing enterocolitis (NEC) is a dangerous and severe complication that often affects extremely preterm infants, in which the intestinal tissue is damaged. Surgical intervention occurs 20% to 40% of NEC cases. The case fatality rate of NEC surgery is as high as 50%.7


Hospital cost savings achieved through use of Prolacta’s human milk–based fortifiers

Prolacta’s products help decrease the overall cost of care for extremely premature infants when used as part of an EHMD in the NICU. Despite the added cost of donor human milk and donor milk–derived fortifiers, an EHMD is cost effective.6

Learn more about the clinical value of an EHMD

Clinical evidence

Read peer-reviewed studies and clinical results

Share the value

Download an evidence-based cost paper outlining the value of an EHMD

Peer support

Gain insights from fellow neonatologists, nurses, and dietitians

Speak to a Health Economics Consultant

Implementing an EHMD can prevent costly health complications in premature infants and save the hospital money. Reach out to our health economics consultants who can help review your revenue cycle management and the use of an EHMD, as well as address billing and reimbursement topics such as:

  • Diagnosis-Related Group (DRG)
  • Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA)
  • Cost Outlier (high costs or exceptionally long stays)
  • Stop-Loss Insurance consideration
  • Letter of Medical Necessity (pre-authorization)

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Citations