eAPPENDIX.
Calculations for Determining Direct Cost Savings
| Cost of requested therapy |
| Cost of requested therapy = (daily drug acquisition cost) × (duration of therapy) |
| Cost of recommended alternative therapy |
| Cost of recommended alternative therapy = (daily drug acquisition cost) × (duration of therapy) |
| Duration of therapy was annualized or as stated if < 1 year |
| Cost of review for all CC PADRs |
| Cost of review for all CC PADRs = (cost per PADR) × (total PADRs) |
| Cost per PADR = (average time to completion) × (salary plus benefits) |
| Direct cost savings |
| Direct cost savings = (sum of requested therapies for CC PADR nonapprovals) – (sum of recommended alternative therapies for CC PADR nonapprovals) − (cost of review for all CC PADRs) |
Abbreviations: CC, community care; PADR, prior authorization drug request.