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Cost Effectiveness of Clubhouse Model

Available evidence substantiates the fact that our Clubhouses provide communities around the world with a cost-effective solution for dealing with the devastating impact which mental illness has on society, and for helping people who live with mental illness achieve their full potential in their communities.

According to available research, Clubhouses achieve the following tangible results for members and their communities:

  • Better transitional employment results: longer on-the-job tenure is found to be highly correlated with Clubhouse attendance.1
  • Cost effectiveness: the cost of Clubhouses is estimated to be one-third of  the cost of the IPS model; about one-half the annual costs of Community Mental Health Centers; and substantially less than the ACT model.2
  • Reduced hospital stays: membership in a Clubhouse has resulted in a significant decrease in the number of hospitalizations. 3
  • Reduced incarcerations: criminal justice system involvement is substantially diminished during and after Clubhouse psychosocial program membership. 4
  • Improved well-being:
    • Compared with individuals receiving services as usual, Clubhouse members have been shown to be significantly more likely to report that they had close friendships and someone they could rely on when they needed help.5
    • A recent study has suggested that service systems should prioritize services that offer ongoing social supports like Clubhouses because they enhance mental and physical health by reducing disconnectedness.6

Sources: 1 Macias, Kinney and Rodican (1995).  2 McKay, Yates and Johnsen (2005); IPS model reported by Clark et al (1998); ACT model reported by Macias et al (2001).  3 De Masso, Avi-Itzak and Obler (2001).  4 Johnson and Hickey (1999).  5 Warner, Huxley and Berg (1999).  6 Leff and colleagues (2004).

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