Drugs

Patients Should Benefit from Drug Discounts: PhRMA

A Pharmaceutical Research and Manufacturers of America (PhRMA) report tracing how money flows through the biopharmaceutical supply chain says that patients should benefit from cost payments that are negotiated at various points in the chain. “Drug pricing is a complex and often confusing issue, shaped by a pharmaceutical distribution and payment system that involves multiple transactions among numerous stakeholders,” PhRMA says in “Follow the Dollar: Understanding How the Pharmaceutical Distribution and Payment System Shapes the Prices of Brand Medicines. While there has been significant public discussion about the prices of prescription medicines, it is rarely clear what price is being discussed. There is no one price for medicines, as prices paid by wholesalers, pharmacies, pharmacy benefit managers, and health plan sponsors all vary and are determined by negotiations between stakeholders, each with varying degrees of negotiating power.”

Over the past 10 years, the report says, as the market for prescription medicines has evolved in response to changes in the insurance, regulatory, and business landscapes, interactions along the supply chain have evolved as well. “Changing market dynamics — including the approval of innovative new medicines for complex conditions like cancer and hepatitis C, increased use of tiered cost-sharing and utilization management tools that drive rapid uptake of generic medicines, and increased consolidation among entities along the pharmaceutical supply chain — have altered the financial arrangements between manufacturers, wholesalers, pharmacies, pharmacy benefit managers, and health plan sponsors,” the report says.

But while many manufacturers are offering larger rebates on medicines every year, patients, who are facing larger deductibles and higher coinsurances than ever before, are increasingly facing cost-sharing that is based on the full undiscounted price. “Patients often do not benefit from discounts and rebates negotiated between manufactures and payers, and may end up paying more than their insurer for their medicine,” PhRMA says. “This needs to change. Patients should benefit more from negotiated rates in the form of lower out-of-pocket costs at the pharmacy, just like they do for other types of healthcare services.”

Gupta Raises Concerns About Overton’s Independence, Ideology

FDA commissioner nominee Heidi Overton’s responses on vaccines, contraception and abortion medication during her 9/24 Senate confirmation hearing raise concerns that ideology could influence her decision-making if she takes over the agency, MSNBC senior medical analyst Dr. Vin Gupta said Friday. Gupta was particularly critical of Overton’

Overton Confirmation Remains Uncertain After Senate Hearing

FDA commissioner nominee Heidi Overton emerged from her Senate confirmation hearing Thursday (see earlier story) without resolving questions about whether she has enough Republican support to advance — and with a rapidly narrowing window for confirmation before the midterm elections. The Senate Health, Education, Labor and Pensions Committee hearing provided few

FDA Classifies Boston Scientific Imager II Catheter Recall as Class I

FDA has classified Boston Scientific's recall of its Imager II Angiographic Catheters as Class I because a manufacturing problem could cause catheter tips to degrade and detach, potentially resulting in life-threatening complications. The agency announced the Class I classification 9/25, updating an Early Alert it issued

FDA Approves Gazyva for Childhood-Onset Idiopathic Nephrotic Syndrome

FDA has approved Roche’s Gazyva (obinutuzumab) for reducing the risk of relapse in adults and children aged 2 and older with frequently relapsing or steroid-dependent, childhood-onset idiopathic nephrotic syndrome who are in remission. The expanded approval covers the use of the CD20-directed antibody beyond its existing

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Gupta Raises Concerns About Overton’s Independence, Ideology

Overton Confirmation Remains Uncertain After Senate Hearing

FDA Classifies Boston Scientific Imager II Catheter Recall as Class I

FDA Approves Gazyva for Childhood-Onset Idiopathic Nephrotic Syndrome