Why Nutrition Deserves More Attention from Health Plans

Malnutrition in cancer care is more than a clinical issue; it’s a financial one. According to the National Cancer Institute, 30% to 85% of people with cancer do not get enough nutrients or calories to support their treatment and recovery. The consequences include higher toxicity, worse quality of life, and mortality rates of up to 10-20% directly caused by malnutrition.[1]

For health plans, this translates into significant, avoidable costs. Here are three areas where malnutrition has the biggest financial impact:

Increased emergency department visits

According to one recent study, malnourished patients with cancer had double the ED costs compared to those who had adequate nutrition. The average cost of patients with inadequate nutrition was $10,194 in ED visit costs, compared to $4,115 for patients who were properly nourished. Endocrine/neuroendocrine and genitourinary cancer patients incurred almost three times the ED costs compared to those who were nourished properly.[2]

For health plans, early nutrition intervention can help reduce avoidable ED use and lower acute care costs.

Increased hospitalization and readmission rates

Malnutrition has been shown to increase hospital costs by 34% and 30-day readmission rates by 54%. One study of a multihospital accountable care organization that optimized nutrition achieved a 27% reduction in 30-day readmission rate, while another organization focused on nutrition quality generated $4.8 million in cost savings.[3]

Another study found that a comprehensive nutrition-focused quality improvement program resulted in a 29% reduction in 30-day readmissions and a 26% decrease in length of stay, leading to a net savings of nearly $4,000 per patient treated.[4]

For health plans, reducing readmissions directly improves total cost of care and member outcomes.

Higher treatment costs and wasted spend

A third cost impact related to malnutrition of patients with cancer involves lower tolerance to treatment, especially chemotherapy and radiation. These conditions can lead to dose reduction, delays, and added supportive care. One study found that patients with cancer who were malnourished were much more likely to have their doses reduced (67% vs. 35%).[5] Dose changes and discontinuation of oral anticancer drugs led to an average of $4,290 per patient in wasted drug cost.[6] Another study showed early nutrition therapy reduced average healthcare costs from $6,032 to $3,527 per patient.[7]

For health plans, supporting nutrition ensures better adherence, less waste, and improved treatment success.

How Iris by OncoHealth Reduces the Cost of Malnutrition

Iris by OncoHealth® integrates specialized oncology nutrition support directly into cancer care management. The program includes malnutrition screening and proactive outreach, virtual visits with Oncology Registered Dietician Nutritionists (RD), on-demand messaging with RDNs for real-time support, and care coordination with the member’s oncology team.

The result: fewer avoidable costs, improved treatment adherence, and better member outcomes.

What this means for health plans

Malnutrition drives millions in avoidable costs every year. By addressing it head-on, health plans can:

  • Lower acute care spend (fewer ED visits and hospitalizations)
  • Reduce wasted drug costs
  • Improve member outcomes and satisfaction

With Iris, nutrition becomes a strategic lever for both cost containment and quality improvement in oncology care.

 


 

[1] Nutrition in Cancer Care (PDQ) – Health Profession Version, National Cancer Institute

[2] Increased Emergency Department Utilization and Costs for Medicare Cancer Patients with Malnutrition Diagnoses, The Journal of Nutrition, Health, and Aging, August 2022

[3] Addressing Malnutrition Through Advances in Value-Based Care, Health Affairs, April 2, 2025

[4] Increased Emergency Department Utilization and Costs for Medicare Cancer Patients with Malnutrition Diagnoses, The Journal of Nutrition, Health, and Aging, August 2022

[5] Chemotherapy dose intensity predicted by baseline nutrition assessment in gastrointestinal malignancies: A multicentre analysis, European Journal of Cancer, June 2016

[6] Anticancer-drug dose changes, discontinuations lead to $4,290 in pill wastage per patient, Healio, July 2023

[7] Hospital nutrition care informs potential cost-savings for healthcare: A budget impact analysis, Clinical Nutrition Espen, April 2021

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