Morning Briefing
Summaries of health policy coverage from major news organizations
Infants' Tylenol Used To Be More Concentrated But Now It's The Same As Children's Version. So Why Does It Cost Three Times More?
If you've ever had a little one at home with a fever, you might have noticed two options for Tylenol at the store. There's one for infants and one for children. They contain the same amount of medicine 鈥 160 milligrams of acetaminophen per 5 milliliters of liquid 鈥 but the infant version costs three times more.What gives? It turns out, there's a backstory. (Simmons-Duffin, 5/27)
Drug pricing is complicated and secretive. WSJ explains how the flow of money, drugs and rebates behind the scenes may drive up the price of prescription medicine for consumers. (5/28)
Although more drug makers are settling patent lawsuits, the U.S. Federal Trade Commission found a dramatic drop in the number of so-called pay-to-delay deals, which the regulator and consumer watchdogs argue unfairly rob Americans of lower-cost alternatives to their prescription medicines. In discussing the findings, which were from fiscal year 2016, the FTC argued that the decline in such deals underscores the fact that brand-name and generic drug makers can settle patent litigation without having to resort to anti-competitive terms. A trade group for the generic industry, meanwhile, contended the data show that legislation designed to eliminate pay-to-delay deals is unnecessary. (Silverman, 5/24)
A new Colorado law will ensure that those living with diabetes will spend no more than $100 per month on insulin, making it the first state to limit the cost of an increasingly expensive medication millions of Americans rely on. More than 30 million Americans have diabetes, and some 7.4 million of them must take insulin every day to live, according to the American Diabetes Association. Although insulin was discovered nearly a century ago, costs continue to rise. A January report from the Health Care Cost Institute, a nonpartisan research organization, found the price of an insulin prescription roughly doubled nationwide from 2012 to 2016. (Donovan-Smith, 5/24)
The American Conservative Union has launched print, digital and cable ads lauding President Donald Trump鈥檚 plan to curtail a complex system of prescription drug price rebates that pharmaceuticals pay to insurers and pharmacy benefit managers. The ads say seniors can save up to 30% on the cost of their medicine and urge Americans to call the White House and thank the president 鈥渇or fighting for Rx Drug Discounts for Seniors (Radelat, 5/29)
Seeking an edge in the increasingly competitive market for cancer drugs, one of the industry鈥檚 largest companies is taking a bold but risky approach: targeting the early stages of the disease. AstraZeneca PLC鈥檚 new cancer research chief, Jos茅 Baselga, wants the company to prioritize early-stage cancers over advanced disease when developing new cancer drugs. If successful, his unorthodox strategy could reap rewards for both patients鈥攖he potential to cure cancer is much greater when it is treated early鈥攁nd company coffers. (Roland, 5/27)
A website launched by pharmaceutical giant Eli Lilly LLY, -0.88% 聽 earlier this year leads with a daunting statement about the price of its diabetes drug Trulicity: 鈥淒rug prices can be confusing,鈥 it says. That鈥檚 for sure, and thanks to a new mandate from the Trump administration, consumers could find themselves even more confused. The U.S. Centers for Medicare and Medicaid Services said in May that it will聽require drugmakers to include 鈥渓ist prices鈥 in television ads聽for all medicines covered by Medicare or Medicaid that cost $35 or more for a one-month supply or for a full course. (Since private insurers and employer-run plans typically cover these drugs, too, the rule is likely to affect most prescription medications touted on TV.) (Weintraub, 5/28)
Seniors' out-of-pocket costs for cancer drugs continue to rise steadily, with patients paying thousands of dollars each year despite efforts to close the Medicare Part D "donut hole," researchers said. Prices for 13 anticancer drugs available through Medicare Part D in 2010 rose an average 8% over inflation every year over the past decade, said lead researcher Stacie Dusetzina. She is an associate professor of health policy and cancer research at Vanderbilt University School of Medicine in Nashville, Tenn. (Thompson, 5/28)
A new controversy is emerging over a costly treatment for Duchenne muscular dystrophy, a rare disease that can send boys to an early death, thanks to a new analysis suggesting that clinical data is so limited that it is impossible to determine whether the medication is worth a price tag of $300,000 or more. The medicine, which is called Exondys 51 and marketed by Sarepta Therapeutics (SRPT), caused a heated public debate over regulatory approval standards and satisfying unmet medical needs during the run-up to its endorsement nearly three years ago by the Food and Drug Administration. (Silverman, 5/23)
For the second time in less than a year, GlaxoSmithKline (GSK) is reworking promotional practices in order to boost prescriptions, and its latest move will provide greater incentives for its sales reps. The change comes as Glaxo attempts to compete in the burgeoning oncology market, a step underscored with its recent $5 billion acquisition of Tesaro, which sells a treatment for ovarian cancer. The deal helped return the drug maker to the commercial cancer business, which demands that promotional efforts match what rivals are doing. (Silverman, 5/23)