Prescription drug costs have been a hot topic in recent years, and for good reason. Many people rely on medications to maintain their health, and the rising cost of prescription drugs can be a significant financial burden. While generic drugs are often considered more affordable, some may be surprised that even these medications can come with hefty price tags.
- At the start and halfway points of each year, many pharmaceutical companies raise drug prices to bolster revenue and reportedly fund new research.
- A new STAT analysis of mid-year price hikes has found that, despite these new requirements, drug prices are on the rise. Indeed, on July 1, drugmakers raised the wholesale price on over 123 drugs in what’s the largest number of mid-year price hikes since 2013.
- The median price increase for these drugs was 3.4%, just above the one-year inflation rate of 3.2%. So, over half of these medications could potentially face rebates, including 10 Pfizer drugs whose prices increased by 10%, such as long-acting penicillin Bicillin and blood thinner Fragmin.
The FDA only requires drug companies to provide information about their pricing practices for new drugs and doesn’t approve drugs based on pricing. Still, Congress may give the FDA the authority to decline new drug applications based on set retail prices.
Studies have shown that direct-to-consumer (DTC) advertised drugs are more expensive than non-advertised drugs. For example, a study by the Kaiser Family Foundation found that DTC-advertised drugs cost an average of $3.70 more per prescription than non-advertised drugs.
Alzheimer’s is a devastating disease, yet there is division in its causes and treatment options. Leqembi, in a clinical trial, slowed cognitive decline by 27 percent over 18 months compared with a placebo. That represented a five-month delay in progression — dismissed as negligible by some but hailed as a milestone by others for a mainly untreatable malady.
Pharmacy Benefit Managers (PBMs) play a crucial role in the healthcare industry by managing prescription drug benefits for health insurance plans, employers, and other organizations. While PBMs are very profitable. Congress is taking a hard look at PBMs and their role in rising prescription drug costs