This paper estimates the savings opportunity from biosimilars in the medical benefit of a large employer-sponsored health plan, using real-world claims data. This analysis illustrates the savings potential of biosimilars in the commercial market and highlights the important role of employer-sponsored plans in promoting biosimilar utilization.
The market for biologic drugs in the United States is large and growing. Total US biologic sales in 2018 is estimated to have been $125 billion, an increase of 50 percent since 2014.
“Peter B. Bach, MD, a well-known critic of high drug prices, along with Jennifer A. Ohn, MPH, Preston Atteberry, MD, and Mark Trusheim, MSc, first wrote in April that biosimilar competition is an economically inefficient way to achieve the goal of lower prices; the biosimilar environment is different than the one that exists in the generic marketplace for small-molecule drugs. These authors said, instead, that biosimilars are natural monopolies and as such need price regulation in order for them to succeed and for prices to come down.”
“I think its a solid [GDP] number. Obviously the inventory piece creates a little bit of volatility and the investment numbers are a disappointment, but not a surprise. Overall we see a strong consumers. On the Fed, I would agree with Austin. What the Fed has to do now more than ever is try to block out the political noise, focus on the data and make the best call to boost their credibility or sustain their credibility.”
“Would legislators take the opportunity to redo some parts of the BPCIA, if they had the chance? Both [Alex] Brill and Hayes said while that, too, is theoretically possible—such as shortening the period of patent exclusivity or changing other aspects of the patent dance—the danger is that it would then get stuck in the quagmire of politics.”
