Morning Briefing
Summaries of health policy coverage from major news organizations
Why Cities Even In The Same State Can Have Wildly Different Drug Prices
The New York Times: What Does A Drug Cost? It Depends On Where You Live
What you pay at the pharmacy for generic drugs can vary widely based on where you live, according to a new analysis by the consumer website GoodRx. The study, which looked at 500 commonly used drugs in 30 American cities, highlights just how unpredictable drug prices can be. The cost of common drugs like the generic version of the cholesterol drug Zocor, or the diabetes drug metformin, differ significantly from coast to coast. (Thomas, 7/6)
Stat: Drug Industry Tries To Press Congress To Lift Burden For More Drug Costs
On the surface, pharma’s latest ad and messaging campaign warns of a looming “cliff” for Medicare beneficiaries, suggesting that, unless Congress takes action, seniors’ out-of-pocket costs will soar. But, in a subtle mixing of messages, the ads also call for Congress to reduce the amount drug makers pay to cover drug costs for seniors in Medicare’s so-called donut hole. (Mershon, 7/10)
Bloomberg: Drugmakers Cancel Price Hikes After California Law Takes Effect
A handful of the world’s biggest drugmakers are canceling or reducing planned price increases in the U.S., following a new California drug pricing transparency law and continued political pressure over pharmaceutical costs. The California law, which began to take effect earlier this year, requires drugmakers to give insurers, governments and drug purchasers advance notice of large price increases, as a way of publicly pressuring pharmaceutical companies to keep prices down. In the past three weeks, Novartis AG, Gilead Sciences Inc., Roche Holding AG and Novo Nordisk A/S sent notices to California health plans rescinding or reducing previously announced price hikes on at least 10 drugs. (Elgin, Koons and Langreth, 7/10)
Bloomberg: Amazon Is Already Undercutting Prices On Over-The-Counter Pills
As pharmacy chains await Amazon.com Inc.’s entry into the prescription-drug market, the online retail giant is already undercutting them for non-prescription medicine for aches, colds and allergies. Median prices for over-the-counter, private-brand medicine sold by Walgreens Boots Alliance Inc. and CVS Health Corp. were about 20 percent higher than Basic Care, the over-the-counter drug line sold exclusively by Amazon, according to a report Friday by Jefferies Group analysts. (Kasumov, 7/6)
Stat: Drug Prices Rise, As Pharma Prospers From Tax Law, Group Argues
A tax policy group here is trying to rally outrage over last year’s Republican-backed tax cut by pointing to one of its main beneficiaries: the pharmaceutical industry. Americans for Tax Fairness, a coalition of left-leaning groups that advocate for placing a heavier tax burden on corporations and the wealthy, said in a report that drug companies are “among the biggest winners from the Trump-GOP tax cuts, but they are sharing few of the benefits with their employees and are offering no pricing relief to their customers.” (Facher, 7/9)
Politico Pro: CMS Quit Test Of Pricey Cancer Treatment Amid Concerns Over Industry Role
Medicare and Medicaid administrators earlier this year quietly killed a plan to pay for a breakthrough, half-million-dollar cancer treatment based on how well it worked, scuttling one of the Trump’s administration’s first and most highly touted attempts to lower the cost of drugs. The payment deal for Swiss drug giant Novartis' Kymriah therapy drew internal HHS scrutiny and is the target of current congressional investigations. (Karlin-Smith and Pittman, 7/8)
Modern Healthcare: 340B Drug Discount Limits To Be Considered By House Panel
A key House panel is slated to consider on Wednesday a new packet of 340B legislation that would go further than previous measures to overhaul the controversial drug discount program. The bills on the docket include a long-negotiated measure by Rep. Chris Collins (R-N.Y.), who has led the House effort to curb the 340B program. Known shorthand as "patient definition," the proposal would designate in statute the patients who should qualify for the drug discount received by hospitals and clinics covered under 340B. (Luthi, 7/10)
CQ: House Panel To Debate Bills On Hospital Drug Discounts
A House panel that has been scrutinizing hospitals’ use of a drug discount program will examine on Wednesday pieces of legislation that stem from members’ concerns over the discounts. The Energy and Commerce Committee’s oversight panel has had two hearings in the past year on the program, known as 340B. The committee has requested information from hospitals that participate and in January published a report outlining ways the drug discount program could be better run. (Siddons 7/9)
Kaiser Health News: State Prisons Fail To Offer Cure To 144,000 Inmates With Deadly Hepatitis C
State prisons across the U.S. are failing to treat at least 144,000 inmates who have hepatitis C, a curable but potentially fatal liver disease, according to a recent survey and subsequent interviews of state corrections departments. Many of the 49 states that responded to questions about inmates with hepatitis C cited high drug prices as the reason for denying treatment. The drugs can cost up to $90,000 for a course of treatment. Nationwide, roughly 97 percent of inmates with hepatitis C are not getting the cure, according to the survey conducted for a master’s project at the Toni Stabile Center for Investigative Journalism at Columbia University’s Graduate School of Journalism. (Thanthong-Knight, 7/9)
Columbus Dispatch: Kasich Team's CVS Ties Questioned Amid Pharmacy Benefit Manager Inquiry
Possible conflicts of interest between the Kasich administration and CVS are fueling skepticism over whether Ohioans will see changes in a Medicaid setup that gives the national pharmacy company up to six times its actual cost of providing prescription drugs to Ohio’s poor and disabled. The relationships are shrouded in secrecy — in part because of confidentiality laws and in part because the administration of Gov. John Kasich has been less than forthcoming about critical aspects of CVS’s business with the state. (Candisky, Sullivan and Schladen, 7/8)
The CT Mirror: Drug Prices Keep Rising Despite Efforts To Address Problem
Millions of Americans are struggling to afford the medications they need, but efforts to bring down the cost of prescription drugs have been stymied by the efforts of special interests, which lobby against any real reform. The problem has been well documented. (Radelat, 7/9)
Stat: Drug Maker Paid Kim Kardashian $500K For Social Media Posts
Three years ago, Kim Kardashian caused a ruckus when she touted a morning-sickness pill to her millions of followers on social media. Her posts failed to include any risk information, prompting regulators in the U.S. and Canada to issue stern warnings. Nonetheless, the gambit paid off handsomely. The faux pas, which was subsequently corrected, generated even more publicity for the Diclegis pill, and by the fall of 2015, sales jumped 21 percent to nearly $41.7 million, according to data from IQVIA, a market research firm. (Silverman, 7/10)
The Star Tribune: HealthPartners' Dr. Charlie Fazio On Managing Pharmacy Costs
As frustration endures with prescription medicine costs, health plans are developing tools that highlight the best possible deal at the pharmacy counter. Bloomington-based HealthPartners launched one such program in 2017 in partnership with GoodRx, a company that gives consumers information about costs at rival pharmacies. Available via website or app, the tool shows a consumer’s out-of-pocket cost in the context of overall benefits, said Dr. Charlie Fazio, the medical director at HealthPartners. (Snowbeck, 7/7)
