Compounding Pharmacies Again Skirt Crackdown On GLP-1 Knockoffs
As the government tries to end the sale of compound diabetes and weight loss drugs, some drugmakers and telehealth companies are finding new ways to keep them on the shelves by tweaking the dosage or delivery method. Plus, a Rite Aid deal, a UnitedHealth insurance denial, and more.
The Wall Street Journal:
Ozempic Knockoffs Survive Crackdown Thanks To Loophole
A government crackdown on cheaper copies of Ozempic and similar diabetes and weight-loss drugs was intended to shut the door on that booming market. It hasn’t exactly worked out that way. Instead, some compounding pharmacies and telehealth companies that make the copies have found new ways in. They are making and selling dosages slightly different from the standard, FDA-approved amounts or including additives such as vitamins B3 and B12. Others have changed how the drug is taken, switching from injectables to under the tongue drops or pills. (Janin, 5/18)
In other health care and pharma news —
Fierce Healthcare:
Rite Aid Inks Deals To Sell 1K Stores To Rivals Including CVS
Rite Aid confirmed Thursday that it had secured a series of deals to sell off more than 1,000 of its stores to multiple pharmacy competitors, including CVS Health and Walgreens. The grocers Albertsons, Kroger and Giant Eagle—which operate pharmacies at their stores—will buy assets from Rite Aid as well, according to the announcement. The news follows media reports that these companies were looking to scoop up stores put up for sale by Rite Aid. (Minemyer, 5/16)
Fierce Healthcare:
Hospitals Cheer 340B Rebate Ruling But Still Await HHS' Final Say
Thursday’s ruling earned a warm reception from hospital associations, which used the moment to lobby the administration for a continued hard stance against the rebate models. “HRSA has rightfully seen through these proposals, which undermine hospitals’ ability to fulfill [340B] program intent,” Bruce Siegel, M.D., president and CEO of America’s Essential Hospitals, said in a statement. “They are not attempts to improve compliance but rather money grabs to reduce access to discounts. … There is certainly adequate justification for rejecting these proposals, and we are confident HRSA’s final decisions for four manufacturers and reconsideration of Sanofi will demonstrate that.” (Muoio, 5/16)
Stat:
UnitedHealth Said It Was Too Dangerous For Him To Be Discharged. Days Later, It Denied His Care
When Megan Bent and her mother won the last appeal against UnitedHealth’s denial of care for her father, she remembered the reason given: it was unsafe for him to come home. Bent’s father had been recovering at a rehabilitation facility after brain surgery to remove a melanoma metastasis. Three days later, his condition hadn’t changed, but Bent and her family received another denial of care. It was their third denial and, this time, they lost. (Chen, 5/19)
Fierce Healthcare:
CureIS Healthcare Hits Epic With Lawsuit For Alleged 'Scheme To Destroy' Its Business
Epic Systems is facing another legal battle as a healthcare company filed a lawsuit alleging anti-competitive practices and illegal interference in its business. CureIS Healthcare, founded in 2006, offers technology and managed services for government programs like Medicare, Medicaid and state healthcare initiatives. The complaint, filed in the U.S. District Court for the Northern District of California, alleges that Epic engaged in a multi-pronged “scheme to destroy” its business. Epic is the largest electronic health record software company in the U.S. (Landi, 5/17)
Modern Healthcare:
Oracle, Cleveland Clinic, G42 Partner To Create AI Platform
Cleveland Clinic, Oracle and G42, have partnered to develop an artificial intelligence-based healthcare delivery platform. A launch date for the platform has not yet been announced. The platform will be released first in the U.S. and the United Arab Emirates, with plans to eventually be available globally. The partnership is part of a nonbinding agreement between the three organizations, according to a Friday news release. (DeSilva, 5/16)
KFF Health News:
Trump’s DOJ Accuses Medicare Advantage Insurers Of Paying ‘Kickbacks’ For Primo Customers
When people call large insurance brokerages seeking free assistance in choosing Medicare Advantage plans, they’re often offered assurances such as this one from eHealth: “Your benefit advisors will find plans that match your needs — no matter the carrier.” About a third of enrollees do seek help in making complex decisions about whether to enroll in original Medicare or select among private-sector alternatives, called Medicare Advantage. (Appleby, 5/19)
