Turing Pharmaceuticals has been saying for a while now that it would lower the price of its toxoplasmosis med, Daraprim, responding to growing backlash from lawmakers and the public after it bought the drug in August and jacked up its price by more than 5,000%. Now the company is taking a different route, opting to negotiate discounts with hospitals rather than cut the drug's list price.
Express Scripts will put its money behind a new value-based reimbursement model next year, using comparative data and indication-specific pricing to favor "clinically superior" meds. The pharmacy benefits manager will roll out the approach in cancer first, with anti-inflammatory meds close behind.
Last month, four U.S. senators asked the FTC to investigate "possible illegal collusion" by saline solution manufacturers to determine whether they had been unfairly cashing in on a two-year shortage. But saline is only one of hundreds of hospital generic injectable drugs whose prices have soared in the last 8 years, And given the current state of affairs in the business, it is a situation unlikely to change.
The U.S. House Committee on Oversight & Government Reform, already casting an uncomfortable spotlight on pharma pricing, set up a task force this month and promised "meaningful action." Now the committee is plotting its next course of action, planning a hearing in 2016 to investigate companies' pricing policies. And activist Rep. Elijah Cummings has added Valeant's specialty pharmacy Philidor to his own investigations.
Politicians and government officials have been turning up the heat on drug prices. Now, that pressure has pharma companies pointing the finger at insurers that are putting a bigger share of drug costs on patients' backs. But insurers are pointing right back.
All the hullabaloo over pharma's drug-pricing practices has taken its toll on several of the industry's stocks. But not Gilead Sciences and Regeneron: While both sank in September on Hillary Clinton's announcement that she'd be cracking down on "price-gouging," they've climbed their way back up.
Democratic presidential candidates have been railing against skyrocketing drug prices, unveiling proposals and in some cases, rolling out legislation to combat them. Now, amid growing public backlash over the issue, Republican presidential hopefuls are starting to jump into the fray with their own plans to rein in pricing.
As pricing issues continue to drag on pharma's reputation, the industry is finally pushing back hard, starting with the industry's lead trade association.
Controversy surrounding drug pricing has reached an all-time high. So what's a drugmaker to do? Take a hard look at the data, Andrew Hanhauser, manager of global pricing and market access at consulting firm Alliance Life Sciences, told FiercePharmaMarketing.
Drugmakers would like the political backlash against price increases to go away. Instead, it just keeps growing. Following up on price-squashing proposals from presidential candidates Hillary Clinton and Sen. Bernie Sanders, a group of House Democrats say they're poised to unveil their own plan.