Introduction: With current subsidized Peruvian government Integral Health Insurance and private specific insurance for certain lesions (compulsory traffic accidents insurance), health care providers look for cost reduction and recovery. This paper seeks to be a health economic evaluation tool to facilitate financial decision making. Objectives: To determine costs of most prevalent diseases at two pediatric hospitals. Design: Absorption costing. Settings: Hospital Nacional Dos de Mayo’s Neonatal Intensive Care Unit (NICU) and Hospital de Emergencias Pediatricas’ Pediatric Intensive Therapy Unit (PITU), Lima, Peru. Material: Clinical charts and reported costs. Interventions: Revision of 100 randomly obtained clinical charts from both institutions (50 from each). Money amounts corresponding to administrative organic units included in indirect costs were not comprised. Main outcome measu...