2026-06-23 · Health Management Associates
The Economic and Human Impact of Treatment-Resistant Depression
with Mark Desmarais, Principal — Health Management Associates

In this latest episode of the Health Policy Podcast, Mark Desmarais, a principal at Health Management Associates, and Dr. William Sauvé, Chief Medical Officer at Osmind, discuss the economic and human impacts of treatment-resistant depression (TRD). Desmarais highlights a report indicating that individuals with TRD incur approximately $8,000 more in annual healthcare costs compared to those whose depression is well-managed. The conversation also addresses the challenges in diagnosing and treating TRD, emphasizing the need for timely and aggressive interventions to improve patient outcomes and reduce overall healthcare expenditures.
The Human and Economic Toll of Treatment-Resistant Depression
Human and Economic Toll of Treatment-Resistant Depression Explored in New Report
In a recent episode of the Health Policy Podcast, Mark Desmarais, a principal at Health Management Associates, and Dr. William Sauvé, Chief Medical Officer at Osmind, discussed the significant challenges posed by treatment-resistant depression (TRD). The conversation centered around a new report that highlights the human and economic impacts of TRD on patients and the healthcare system.
Desmarais, who has spent two decades analyzing healthcare data, emphasized the importance of understanding TRD's effects on Medicare. His report analyzed administrative claims data, revealing that individuals with TRD incur approximately $8,000 more in annual healthcare costs compared to those whose depression is well-managed. This finding underscores the broader implications of TRD, which not only affects patients' quality of life but also places a strain on healthcare resources.
"The individuals with TRD use more healthcare services, including hospital visits and medications," Desmarais said. "This is not just a personal issue; it has significant economic ramifications for the Medicare program."
Dr. Sauvé provided insight into the clinical aspects of TRD, explaining that it is defined by a lack of response to at least two medication trials. However, in practice, many patients undergo eight or more trials over several years without achieving remission. This chronic condition often leads to cognitive impairment and decreased work performance, a phenomenon known as presenteeism.
"Patients suffering from TRD often experience decades of chronic illness, which can exacerbate their condition and lead to additional health complications," Sauvé said. "The longer effective care is delayed, the more severe the consequences can be."
The podcast also addressed the growing mental health crisis in the United States. Dr. Sauvé noted that the number of individuals seeking mental health treatment has increased, with estimates suggesting that around 60 million Americans could benefit from care. However, the current psychiatric workforce, which numbers about 50,000, is insufficient to meet this demand.
Desmarais and Sauvé discussed the challenges faced by psychiatric practices in treating complex cases of depression. A significant barrier is the prior authorization process required by insurers, which can delay access to necessary treatments. This administrative hurdle can prolong patients' suffering and increase their risk of hospitalization.
"Prior authorization is a massive administrative challenge that can take weeks to resolve," Sauvé said. "During this time, patients continue to struggle with their illness, which can lead to crises that require hospitalization."
Both experts agreed that addressing TRD requires a shift in how healthcare providers and policymakers approach treatment. Desmarais suggested that finding effective solutions for TRD could not only improve patient outcomes but also reduce overall healthcare spending.
"Policymakers should create pathways that facilitate access to effective treatments for TRD," Desmarais said. "This would benefit not just those patients but the healthcare system as a whole."
Dr. Sauvé emphasized the importance of early intervention. He argued that moving to more aggressive treatment options sooner could save patients years of suffering and reduce long-term healthcare costs.
"We need to treat patients aggressively and not let them linger in ineffective treatments," Sauvé said. "The cost of inaction is far greater than the cost of providing effective care early on."
As the conversation concluded, both experts highlighted the urgent need for systemic changes in mental health care to better address the complexities of treatment-resistant depression. Their insights underscore the critical intersection of mental health and economic policy in improving patient care and outcomes.
Interview Q&A
Q&A: The Human and Economic Toll of Treatment-Resistant Depression
The Human and Economic Toll of Treatment-Resistant Depression
Q: Can you introduce yourself and your background?
A: I’m Mark Desmarais, a principal at Health Management Associates. I have spent the last 20 years using healthcare data, primarily administrative claims data, to conduct analysis and inform policymaking in Washington, D.C., and across the country.
Q: Dr. Sauvé, can you share your background and current role?
A: I’m Will Sauvé, a psychiatrist and the chief medical officer at Osmind. Osmind is an electronic health record dedicated to psychiatry, serving over 1,000 clinics nationwide. I have a background in military psychiatry and have focused on treatment-resistant depression for over a decade.
Q: What is treatment-resistant depression (TRD)?
A: TRD refers to depression that does not respond to standard treatments. In the literature, it is often defined as failure to respond to at least two medication trials. However, in practice, patients may undergo eight or more trials without success, suffering for many years.
Q: What economic impact does TRD have on healthcare?
A: Individuals with TRD cost the healthcare system approximately $8,000 more annually than those whose depression is well managed. This includes increased use of healthcare services, such as hospital visits and medications.
Q: What are the broader implications of TRD on patients?
A: Patients with TRD experience significant suffering, which affects their personal lives and productivity. Many face cognitive impairments and reduced work performance, contributing to presenteeism, where they are physically present but not performing effectively.
Q: Are we seeing an increase in mental health struggles in society?
A: Yes, there is evidence that both the prevalence of mental health issues and the number of individuals seeking treatment are increasing. Estimates suggest that around 60 million people in the U.S. could benefit from mental health care, while there are only about 50,000 psychiatrists available.
Q: How does a physician determine when a patient has TRD?
A: The diagnosis of TRD typically emerges after multiple medication trials fail to produce results. If a patient does not respond to two trials within 18 months to two years, they may be classified as having TRD.
Q: What happens when effective care for TRD is delayed?
A: Delayed care can lead to increased risks of hospitalization and worsening comorbidities. Patients may experience a decline in their overall health, cognitive function, and quality of life, leading to a cycle of escalating treatment needs.
Q: How does your military background influence your approach to treating TRD?
A: My military experience taught me the importance of aggressive treatment in high-intensity settings. Inactive duty environments, timely intervention is crucial to ensure that service members are fit for deployment.
Q: What challenges do independent psychiatric practices face in treating complex depression cases?
A: A significant challenge is the prior authorization process for treatments. This administrative burden can delay access to necessary care, exacerbating patient suffering and complicating treatment.
Q: What changes are needed to improve outcomes for patients with TRD?
A: Clinicians and policymakers should work together to create pathways for effective treatments. Early intervention with potentially more expensive therapies may ultimately reduce long-term costs and improve patient quality of life.
Q: What is your perspective on the urgency of treating TRD?
A: It is essential to treat patients aggressively and quickly. Delaying effective treatment can lead to years of suffering and increased healthcare costs. We must prioritize timely interventions to improve outcomes for individuals with TRD.
Q: What final thoughts do you have regarding the economic implications of TRD?
A: Addressing TRD effectively can have significant economic benefits. By reducing the long-term costs associated with untreated depression, we can improve the overall healthcare system and create more resources for other health issues.
Key takeaways
- “Individuals with TRD cost the system about $8,000 more each year than those patients whose depression is well managed.”
- “It's having a human impact, but it's also good to remember that it's an economic impact, and that should incentivize everyone to really work harder to solve this problem.”
- “In psychiatry, the word resistant is quite fraught... It is the condition itself which is resistant to treatment.”
- “This is a chronic illness that can get worse and worse over time.”
- “Moving quickly and getting people that life back is of course the thing that I would really, really want to have in mind.”
About the guest

Principal — Health Management Associates
Mark Desmarais specializes in Medicare and Medicaid policy consulting with a focus on large dataset analysis, including all Medicare datasets available to the private sector. He is a front-to-back problem solver for clients designing data analysis who strives to answer questions and anticipate future needs. Mark has extensive experience analyzing Medicare and other health datasets and applying the results in solving public policy challenges and supporting policy advocacy in the regulatory and legislative arena. Before joining HMA, Mark was a partner at The Moran Company, now an HMA Company. He manages project teams tackling policy issues across the healthcare spectrum. He has extensive experience helping pharmaceutical companies and device manufacturers as they navigate the regulations surrounding the Outpatient and Inpatient Prospective Payment Systems. He has performed in-depth modeling of issues related to the 340B program as well. In addition, Mark has vast experience with regulatory issues in ambulatory surgical centers, dialysis facilities, and skilled nursing facilities. He has led modeling of the Merit-based Incentive Payment System (MIPS) scoring proposals advanced by the Centers for Medicare & Medicaid Services (CMS) in implementing the Medicare Access & CHIP Reauthorization Act (MACRA). In addition, Mark has analyzed client data warehouses to inform public policymaking on issues where publicly available datasets lacked essential information. He manages client relationships and deliverables, leads small project teams, and trains analysts in programming, policy context, and data analysis. His clients have included pharmaceutical, biotech, and device manufacturers, trade associations, hospitals, and physician specialty societies. Mark graduated from the University of Chicago with a bachelor’s degree in mathematics. He has more than 10 years of SAS® programming experience with large healthcare datasets.
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