Removal of lead pipes can lower medical costs

December 21, 2023

The Biden Administration has announced a new program to replace all lead pipes in the US over a decade, a project that will cost $20-30 billion. Researchers earlier this year estimated that a previous federal program with less comprehensive replacement would save about $9 billion a year in medical costs. That’s because high lead levels lead to a myriad of adverse health effects, including high blood pressure, coronary artery disease, cancer, cognitive difficulty, decreased immune systems, and preterm births. Replacing lead pipes will help prevent many diseases and can lower overall medical claims costs.  

Implications for employers:

-        This study demonstrates the potential impact of public policy on health and cost of medical care.

-        This is a good example of how a public health or infrastructure effort can have a positive impact on health care spending.

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