Objective: To calculate the direct and indirect costs of asthma in Can
ada. Design: Cost-of-illness study. Setting: Canada. Patients: All Can
adians receiving inpatient or outpatient care for asthma in 1990. Outc
ome measures: Direct costs incurred by inpatient care, emergency servi
ces, physician and nursing services, ambulance use, drugs and devices,
outpatient diagnostic tests, research and education. Indirect costs f
rom productivity loss due to absence from work, inability to perform h
ousekeeping activities, need to care for children with asthma who were
absent from school, time spent travelling and waiting for medical car
e, and premature death from asthma. All costs are in 1990 Canadian dol
lars. Results: Depending on assumptions, the total cost of asthma was
estimated to be between $504 million and $648 million. Direct costs we
re $306 million. The single largest component of direct costs was the
test of drugs ($124 million). The largest component of indirect costs
was illness-related disability ($76 million). Conclusions: Annual cost
s of treating asthma are comparable to the individual cost of infectio
us diseases, hematologic diseases, congenital defects, perinatal illne
sses, home care and ambulance services. Asthma costs may increase in t
he future, given current morbidity and mortality trends. Further evalu
ation of the effectiveness and cost-effectiveness of available asthma
interventions in addition to aggregate cost data are required to deter
mine whether resource allocation for the treatment of asthma can be im
proved.