Unbiased Analysis of Today's Healthcare Issues
What options do payers have for setting prices for high-cost drugs? Examples include volume discounts, performance based contracts and coverage with evidence. However, is there a comprehensive taxonomy one can use for defining all these different pricing and payment options? The closest we have come is a new paper by Ardito, Ciani & Drummond (2024).…
That is what an analysis from PwC finds, at least with respect to stock market returns. Our PwC equal-weight index of 50 pharma companies analyzes the sector’s total shareholder returns performance relative to the S&P 500 Equal Weighted Index. From 2018 through November 2024, the PwC pharma index returned 7.6% to shareholders, compared with more…
A study by Fermaglich and Miller (2023) evaluated trends in orphan drug designations and approvals after the Orphan Drug Act of 1983 was passed in the US. The authors use FDA data to evaluate between 1983 and 2022 and find that: Over the 40 years of the ODA, 6,340 orphan drug designations were granted, representing…
That is a key question if long-run drug prices are going to come down for biologic products. We can decompose this question into 3 sub-questions: What share patients initiating therapy start on a biosimilar? What share of patients already using a biologic products switch to a biosimilar? Do patient of physician factors drive biosimilar prescribing…
That is the title of a KFF article published last week. The results are based on KFF’s 2024 Employer Health Benefits Survey. They write: For KFF’s survey of 2,142 randomly selected companies, officials from those with 500 or more employees were asked how much of the rebates negotiated by [pharmacy benefit managers] PBMs returned to…
That is the question considered by Wouters and Kuha (2024) in a recent Health Affairs article. The authors use IQVIA data between 1982 and 2024 on the timing of drug launches and estimate median delay times using a Kaplan Meier estimates. They find that: From the first launch globally, the median time to availability was…
From the FTC’s press release out today: Today, the Federal Trade Commission brought action against the three largest prescription drug benefit managers (PBMs)—Caremark Rx, Express Scripts (ESI), and OptumRx—and their affiliated group purchasing organizations (GPOs) for engaging in anticompetitive and unfair rebating practices that have artificially inflated the list price of insulin drugs, impaired patients’…
Why were drugs not included in Medicare in 1965? And the answer is, because drugs didn’t matter. They were not all that good, and they didn’t do a lot… We now see pharmaceutical care as the heart of treating someone; not so then. Steven Grossman, Executive Director – Alliance for a Stronger FDA It’s amazing…
That is the title of a fantastic editorial from Olivença et al. (2024). A lot of people when they look at pharmaceutical prices think they are ‘too high’ or ‘too low’. But the question is, too high or too low relative to what? What are our goals in pharmaceutical pricing. The editorial clearly articulates the…
Managing multiple medications is a challenge for many individuals, particularly the elderly. One study by Almodóvar et al. (2019) found that among Medicare beneficiaries eligible for medication therapy management (MTM), 51% had used 11 or more medications. One approach to improving medication management is to use an appointment-based model (ABM) and other forms of medication…