From Investing.com: 2024-12-12 12:58:04

A drug pricing watchdog reported that half of the top 10 drugs driving up U.S. medical spending in 2023 had price increases not backed by clinical evidence, adding $815 million in costs. Johnson & Johnson’s Darzalex saw a 7.6% price hike, contributing $190 million. Gilead’s Biktarvy led the spending increase.

Other drugs without data support include Novartis’ Entresto, Exelixis’ Cabometyx, and Pfizer’s Xeljanz. The report highlighted Biktarvy as the top contributor to increased spending. Despite this, a Gilead spokesperson pointed out significant clinical data updates ignored by the report methodology.

The drug pricing watchdog criticized the substantial list price increases above inflation for costly drugs. Last year, eight of the top 10 high-expenditure drugs saw significant price hikes, resulting in $1.27 billion in additional costs. Merck’s Keytruda, among the top expensive drugs, had a 4.1% price increase supported by clinical evidence.

While some drugs had new clinical evidence supporting price increases, the report did not assess if the hikes were justified by meeting health-benefit benchmarks. The methodology’s focus on insurance company perspectives, rather than patients, was a point of contention for drug manufacturers.



Read more at Investing.com: Unsupported price hikes added $815 million to US drug spending in 2023 By Reuters