Cost-effectiveness of intensive clinical and case management compared with an existing system of care.

Using controlled experimental methods, this investigation compares treatment outcomes and costs of an intensive clinical and case management program with those of an existing system of care for severely mentally ill clients. The results indicate that after 24 months the treatment group did not improve significantly in psychosocial adjustment and reported life satisfaction, although intermediate changes were apparent. The experimental treatment program did not cost significantly more than the comparison condition, and both groups demonstrated a cost reallocation away from 24-hour and emergency care toward outpatient and case management service. Policy implications and limitations regarding generalizability are discussed.