The U.S. can learn from ways other countries slow prescription drug spending growth, according to a new policy analysis from the National Institute for Health Care Reform (NIHCR)
The U.S. can learn from ways other countries slow prescription drug spending growth, according to a new policy analysis from the National Institute for Health Care Reform (NIHCR).
Written by Jack Hoadley, a research professor at Georgetown University's Health Policy Institute, in consultation with the Center for Studying Health System Change (HSC), the policy analysis examines how reference pricing and comparative-effectiveness, cost-effectiveness research might be adapted for the U.S.
“With appropriate modifications to fit the U.S. context, both approaches could increase the use of generic drugs and less-expensive brand-name drugs, helping to constrain spending growth,” the analysis state. “In particular, reference pricing-an approach where a payer sets payment for a group of similar drugs using a benchmark based on a lower-priced option-could increase consumer incentives to select less-expensive alternatives. Similarly, an approach that bases formulary placement and cost-sharing tiers on scientific assessments of the clinical value of competing drugs offers the potential both to increase acceptance of cost management by patients and physicians and to improve health outcomes.
Outpatient prescription drugs account for about 10%-$259 billion in 2010-of total U.S. health spending. Other developed nations typically pay much lower prices for brand-name drugs than the United States.
The Policy Analysis-Adapting Tools from Other Nations to Slow U.S. Prescription Drug Spending-is available online at www.nihcr.org/Drug_Spending.
Go back to the Managed Healthcare Executive eNews newsletter.
In this latest episode of Tuning In to the C-Suite podcast, Briana Contreras, an editor with MHE had the pleasure of meeting Loren McCaghy, director of consulting, health and consumer engagement and product insight at Accenture, to discuss the organization's latest report on U.S. consumers switching healthcare providers and insurance payers.
Listen
In our latest "Meet the Board" podcast episode, Managed Healthcare Executive Editors caught up with editorial advisory board member, Eric Hunter, CEO of CareOregon, to discuss a number of topics, one including the merger that never closed with SCAN Health Plan due to local opposition from Oregonians.
Listen
Ongoing Stigma Remains a Major Obstacle in the Fight Against HIV | AIDS 2024
July 24th 2024At the 25th annual international AIDS Conference in Munich, Germany, a group of international experts discussed the impact of HIV-related stigma and discrimination on efforts to end the HIV pandemic as a public health threat by 2030.
Read More