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Developing a cost-offset model to communicate the value of a therapy for the treatment of patients with chronic migraine

Health Economics

Developing a cost-offset model to communicate the value of a therapy for the treatment of patients with chronic migraine

Project Scope

Building a localized cost-offset model to demonstrate the value of a chronic migraine therapy that quantified budget savings, creating a compelling financial argument for Saudi payers

KSA

KSA

Challenge

Our client has a therapy for chronic migraine for which they sought a branded style price in the presence of only generic competitors. The price premium over generic standards was likely to spark immediate payer resistance. Our client sought to proactively address this risk through development of a cost-offset model vs. existing standards of care

Solution

We developed a comprehensive cost-offset model that integrated both direct medical costs (ER visits, hospitalizations) and indirect societal costs.

  • To ensure robust localization, we conducted a targeted literature review and validated resource utilization assumptions through primary research with a panel of Saudi neurologists
  • This grounded approach allowed us to accurately map the reduction in acute care episodes, turning abstract savings into tangible demonstration of cost-offset

Results

  • By quantifying significant offsets in acute care, we validated the therapy’s long-term value, moving the dialogue away from budget concerns towards holistic disease management
  • This helped our clients securing early engagement with key formulary decision-makers across both public and private sectors