KEY TAKEAWAY: A report released this week during the largest gathering of biotechnology executives in the world found that pharmaceutical companies are more worried than they were a year ago about their ability to prevail in drug price negotiations. If the M&A frenzy among insurers continues drug companies could find out just how bad a strategy of high drug prices really is.
KEY TAKEAWAY: According to a recent survey, Americans blame the pharmaceutical industry for high prices and say that they are driven by the need for higher profits. Does the pharma industry really care?
KEY TAKEAWAY: As ASCO is well under way the issue of drug pricing is once again taking center stage. “These drugs cost too much,” Leonard Saltz, chief of gastrointestinal oncology at Memorial Sloan Kettering Cancer Center, said in a speech heard by thousands of doctors here for the annual meeting of the American Society of Clinical Oncology.
KEY POINTS: Worldwide spending on cancer medicines reached $100 billion in 2014, an increase of 10.3 percent from 2013 and up from $75 billion five years earlier, according to IMS Health’s Global Oncology Trend Report. Drugmakers worried about a backlash over soaring drug prices are increasingly talking with insurers ahead of time about paying for new therapies that could cost six figures a year. 14 drugs cost the federal government and Medicare beneficiaries more than $1 billion each, accounting for nearly a quarter of Medicare prescription drug spending in 2013.