The sticker shock for Horizon Pharma's Vimovo drug
is magnified by the fact that the painkiller's two main ingredients can be
purchased separately -- for just $36. Although patients typically pay just a
fraction of the price for Vimovo, the dramatic price increase underlines what
critics describe as a murky and wasteful system that ultimately leads to higher
health care costs for all Americans. A spokesman for Dublin-based Horizon said
that the $2,979 wholesale price does not reflect "the cost to patients or
the cost to the system." The company said it has programs to ensure that
commercially-insured patients have access "at an affordable price" --
even if the patient's insurance refuses to cover the cost. Horizon estimates
that 98% of all insured Vimovo patients pay $10 or less out of pocket. President
Trump has repeatedly vowed to bring drug prices down. Just last month, Trump
promised in during his State of the Union Address that his administration will
work to fix the "injustice of high drug prices." Pricing in the
pharmaceutical supply chain is notoriously-murky, despite the enormous
consequences on the nation's bloated health care costs.
http://money.cnn.com/2018/02/15/investing/drug-prices-vimovo-horizon-painkiller/index.html?iid=SF_River
http://money.cnn.com/2018/02/15/investing/drug-prices-vimovo-horizon-painkiller/index.html?iid=SF_River
2 comments:
I find it interesting how every time a drug increases by such an exponential amount it makes headlines. With that said, it is important to understand the strategy of the company in choosing to hike the price. A potential positive externality associated with the price increase of this drug could be less use of this painkiller. Painkiller abuse is a trend that continues to plague the health care industry... Let's hope some good comes from this.
In the article, they mention that usually drug manufacturers work together to increases the prices and get tremendous profits from this, there should be more investigation from the government into this, and if Trump is actually serious about decreasing the prices for drugs like this painkillers he should try to stop the alliances between drug manufacturers because this is what is letting them jack up the prices.
Post a Comment