The Cost of Diabetes Complications

In 2006, the nation spent an estimated $22.9 billion on direct medical costs related to diabetes complications.*
Annual healthcare costs for a person with type 2 diabetes complications are about three times that of the average American without diagnosed diabetes. These complications, which include heart disease, stroke, eye damage, chronic kidney disease and foot problems that can lead to amputations, cost almost $10,000 per person each year.
People with diabetes complications pay nearly $1,600 out of their own pockets for costs that are not reimbursed by insurance, such as co-payments and deductibles. This amount is significant, considering that according to the National Health Interview Survey, an estimated 40 percent of adults with diabetes reported a family income of less than $35,000 per year in 2005.

*Cost estimates in this report were adjusted for inflation to reflect 2006 costs.

To assess the prevalence of complications, data for the State of Diabetes Complications in America report were taken from the National Health and Nutrition Examination Survey (NHANES) 1999-2004, a nationally representative survey of non-institutionalized, U.S. civilians. NHANES is a major program of the National Center for Health Statistics (NCHS), which is part of the Centers for Disease Control and Prevention (CDC). NHANES collects detailed medical information from roughly 5,000 people each year. For the report, the NHANES data are combined with economic information from the 2000, 2002 and 2004 Medical Expenditure Panel Survey (MEPS), which is cosponsored by the Agency for Healthcare Research and Quality and the NCHS. MEPS began in 1996 compiling detailed information on healthcare utilization and expenditures. Data has been collected by MEPS through 2004. Cost estimates in this report were adjusted for inflation to reflect 2006 costs. Adults over the age of 20 were included in the NHANES and MEPS analyses and no distinction could be made between type 1 and type 2 diabetes populations. However, because type 2 diabetes accounts for 90-95 percent of diagnosed diabetes cases, results from the NHANES and MEPS analyses include mostly people with type 2 diabetes. By examining both studies together, the State of Diabetes Complications in America report gives a comprehensive overview of the impact of diabetes-related complications in the U.S.

Cost estimates in this report were adjusted for inflation to reflect 2006 costs.