Tags: drugmakers | drugs | pharmaceuticals | healthcare

WSJ: Drug-Price Battles Shift to States as Lobbyists Fight Caps

WSJ: Drug-Price Battles Shift to States as Lobbyists Fight Caps
(Dreamstime)

By    |   Wednesday, 17 May 2017 11:52 AM

Lawmakers this year have introduced bills in about 30 states that would regulate drug prices, and pharmaceutical makers are fighting back.

“State lawmakers say high drug prices are hurting consumers and straining state budgets for Medicaid, public-employee health insurance, and inmate health care,” The Wall Street Journal reports. “Many of the bills have been introduced by Democratic lawmakers, but some have been proposed by Republicans, such as one in Alabama that would create a state board to negotiate drug price discounts.”

The Pharmaceutical Research and Manufacturers of America, which lobbies on behalf of drugmakers, says it’s “beefing up resources” to oppose state-level crackdowns on drug prices.

“There’s outrage, and people are expecting us to do something about it,” Rob Nosse, a Democratic state representative in Oregon who’s championing a price-regulation bill, told the WSJ.

His bill would place a cap on patients’ out-of-pocket costs for medicine at $100 or $200 a month depending on the insurance plan. Drugmakers would be required by law to pay rebates to the state if a drug’s price is more than the average for five developed countries like the U.K., France and Germany. Those countries have lower prices on average.

“I am concerned that this bill will stifle innovation,” Sandra Shotwell, chief executive of DesignMedix, an Oregon developer of antibiotics, testified at a hearing.

Eli Lilly & Co. CEO David Ricks called many of the state bills “totally wrongheaded. The more price controls we have, there is evidence you’ll have market distortions,” he said in an interview with the newspaper.

The company’s hikes on the list price of insulin has sparked criticism. Its top insulin seller, Humalog, has more than doubled in price in the past six years. The company argues the price is lowered by rebates and other adjustments.

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Lawmakers this year have introduced bills in about 30 states that would regulate drug prices, and pharmaceutical makers are fighting back."State lawmakers say high drug prices are hurting consumers and straining state budgets for Medicaid, public-employee health insurance,...
drugmakers, drugs, pharmaceuticals, healthcare
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2017-52-17
Wednesday, 17 May 2017 11:52 AM
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