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Cost-Effectiveness of Financial Incentives and Disincentives for Improving Food Purchases and Health through SNAP

2018

This analysis estimated the health impact, costs, and cost-effectiveness of food incentives, disincentives, or restrictions in the Supplemental Nutrition Assistance Program (SNAP). A microsimulation model (CVD-PREDICT) was used to compare three policy interventions: (1) a 30% incentive for fruits and vegetables (F&V), (2) a 30% F&V incentive with a restriction of sugar-sweetened beverages (SSBs), and (3) a broader incentive/disincentive program for multiple foods that also preserves choice (SNAP-plus).

From a societal perspective, all three scenarios were cost-saving. From a government affordability perspective, adding a 30% F&V incentive with an SSB restriction was cost-effective at 10 years ($68,857/QALY) and very cost-effective at 20 years ($26,435/QALY) and over a lifetime ($5,216/QALY). The combined incentive/disincentive program produced the largest health gains and reduced both healthcare and food costs, with net cost-savings of $10.16 billion at 5 years and $63.33 billion over a lifetime.

 

Source:

Mozaffarian D, Liu J, Sy S, Huang Y, Rehm C, Lee Y, Wild P, Abrahams-Gessel S, Jardim de SV, Gaziano T, Micha R. Cost-Effectiveness of Financial Incentives and Disincentives for Improving Food Purchases and Health through the US Supplemental Nutrition Assistance Program (SNAP): A Microsimulation Study. PLOS Medicine 2018; 15 (1): e1002661. https://doi.org/10.1371/journal.pmed.1002661