The Face of High Drug Prices
Martin Shkreli, the founder of Turing Pharmaceutical who bought the right to Daraprim and greatly increased the price, is on trial for securities fraud. The trial begins today, and while it has nothing to do with his price gouging, his actions have made it difficult to find unbiased jurors to judge his case. Shkreli has become the almost universally loathed face of high drug prices, and there is sweeping consensus that his actions represent everything wrong with the current s
CBO Says Senate Bill Will Leave 22 Million Without Health Insurance
The Congressional Budget Office just released its score of the Better Health Reconciliation Act, the Senate Republican health care bill. And it is not favorable! CBO determined that the bill will increase the number of people without health insurance by 22 million by 2026, dealing a heavy blow to the act's prospects. Four Republican Senators--Susan Collins of Maine, Rand Paul of Kentucky, Dean Heller of Nevada, and Ron Johnson of Wisconsin--have said they will oppose the bill
The Senate Healthcare Bill and Its Impact on Ordinary Americans
The Senate Republican healthcare bill, called the Better Care Reconciliation Act, would dramatically transform the nation’s healthcare system, and not for the better. The 142 page bill creates a new system of tax credits to help people purchase health insurance but makes gigantic cuts to Medicaid, ends the requirement that most Americans have health insurance, and allows states to drop many of the benefits they are currently required to cover, like maternity care, emergency s
Senator McConnell's Health Care Bill Has Arrived. And It Will Harm Millions
At long last, Senate Majority Leader Mitch McConnell has released the Senate version of the health care bill. And frankly, it is a terrible bill that will harm millions of Americans: it will end the mandate that most Americans have health insurance, deeply cut Medicaid, and allow state governments to drop many benefits that the Affordable Care Act requires they cover, such as maternity care, emergency services, and treatment for mental health. Several sources claimed this bil
Time to Get Tough on Drug Prices
Even the most stubborn companies—drug manufacturers and pharmacy benefit managers—are now acknowledging that high drug prices are a big problem. It is clear that half measures will no longer help struggling patients. What we need is substantive, meaningful reform that will hold Big Pharma accountable and reduce drug costs for all Americans. This makes the new article on the Trump administration’s executive order to reduce drug prices so disappointing. We hear that the executi
PBMs Claim There is No Connection Between PBM Rebates and Higher Drug Price. Their Analysis Leaves O
Pharmacy benefit managers (PBMs) have recently been getting more attention and scrutiny for the role they play in increasing drug costs. This is quite welcome; for far too long these organizations have operated under the radar, despite their misbehavior and the lack of regulation and transparency in their markets. Last week the Pharmaceutical Care Management Association (PCMA), the national association representing PBMs, released a study claiming that there is no evidence of
Nevada Bill to Reduce Diabetes Drug Prices Signed Into Law
Yesterday consumer advocates and unions won a sweeping victory in Nevada. SB 539, a bill to reduce the prices of drugs used to treat diabetes, was signed by Governor Brian Sandoval into law. This bill requires greater transparency and accountability for both drug companies and pharmacy benefit managers (PBMs), and other states should follow suit and enact similar laws. The bill focuses on two specific groups of drugs, insulin and biguanides, which are used to treat diabetes.
Senate HELP Committee Holds First of Three Hearings on Drug Prices
This morning the Senate Health, Education, Labor, and Pensions Committee held the first of three hearings on high drug prices. A great many Democratic Senators attended, and the hearing focused on outrageous drug costs and patient complaints. This is further evidence that members of Congress are determined to take action to reduce drug prices, and it is critical for consumer groups to be involved and help pass major reforms. This hearing focused on basic facts about the drug
The People Harmed by High Drug Prices: Juanita Milton
With all the talk of supply chains and companies and finger pointing, the people hurt by high drug costs are often forgotten or obscured. Thankfully, that has recently been changing as more and more patients and consumers tell their stories about drugs that they cannot afford but need to stay alive. This week, we focus on one woman: Juanita Milton, who needs an inhaler and medicine to just keep breathing. Milton is 67 years old and on Medicare. After years of smoking, she has
New Paper Observes That PBMs Are Middlemen That Obtain Huge Profits But Don't Actually Make Anyt
The evidence against pharmacy benefit managers (PBMs) just keeps piling up. A new report by Merrill Matthews and Peter Pitts of the Institute for Policy Innovation examines price transparency in the health care market, and concludes that PBMs reap gigantic profits and are a major contributor to higher drug costs. The authors point out that “a lot of money is made in the health care system by middlemen who don’t actually treat patients” and that PBMs “don’t actually make anyth
