Costs of Newly Funded Proton Therapy Using Time-Driven Activity-Based Costing in The Netherlands

SIMPLE SUMMARY: Proton therapy delivers more precise treatment compared with conventional radiotherapy. While this innovation entails investment costs, the information about the treatment costs per patient is limited. This information gap might prevent policymakers from making informed decisions. This study aims to calculate the costs of Proton therapy at a single center during the start-up phase and to provide essential information for the health technology assessment of proton therapy. The total cost of proton therapy varied between EUR 12,062 for eye melanoma and EUR 89,716 for head and neck cancer. Overall, indirect costs were the most significant cost component. The high indirect costs implied the potential of the scale of economics; according to our estimation, the treatment cost could be reduced to 35% of the current cost when maximum treatment capacity is achieved. Nevertheless, to have an estimation that reflects the matured cost of proton therapy which could be used in cost-effectiveness analysis, a follow-up study assessing the full-fledged situation is recommended. However, this study provided insights into the financial situation of a new proton therapy center during its ramp-up period and laid the first stone for future costing studies. ABSTRACT: Background: Proton therapy (PT) has characteristics that enable the sparing of healthy, non-cancerous tissue surrounding the radiotherapy target volume better from radiation doses than conventional radiotherapy for patients with cancer. While this innovation entails investment costs, the information about the treatment costs per patient, especially during the start-up phase, is limited. This study aims to calculate the costs of PT at a single center during the start-up phase in the Netherlands. Methods: The cost of PT per patient was estimated for the treatment indications, head and neck cancer, breast cancer, brain cancer, thorax cancer, chordoma and eye melanoma. A time-driven activity-based costing analysis (TDABC), a methodology that calculates the costs of consumed healthcare resources by a patient, was conducted in a newly established PT center in the Netherlands (HPTC). Both direct (e.g., the human resource costs for medical staff) and indirect costs (e.g., the operating/interest costs, indirect human resource costs and depreciation costs) were included. A scenario analysis was conducted for short-term (2021), middle-term (till 2024) and long-term (after 2024) predicted patient numbers in the PT center. Results: The total cost of PT in 2020 at the center varied between EUR 12,062 for an eye melanoma course and EUR 89,716 for a head and neck course. Overall, indirect costs were the largest cost component. The high indirect costs implied the potential of the scale of economics; according to our estimation, the treatment cost could be reduced to 35% of the current cost when maximum treatment capacity is achieved. Conclusion: This study estimated the PT cost delivered in a newly operated treatment center. Scenario analysis for increased patient numbers revealed the potential for cost reductions. Nevertheless, to have an estimation that reflects the matured cost of PT which could be used in cost-effectiveness analysis, a follow-up study assessing the full-fledged situation is recommended.