Posted by Michael Wonder on 14 May 2021
Making cancer treatments affordable today won’t hurt tomorrow’s innovation
12 May 2021 - Congress is about to debate legislation—the Lower Drug Costs Now Act (H.R.3)—that would give Medicare the power to negotiate for lower drug prices.
The bill focuses on lowering prices of drugs that treat a wide range of diseases including asthma, arthritis, and diabetes. But less well appreciated is the power of the proposal applied to cancer drugs. The prices of cancer drugs are now exceptionally high, harming patients and payers.
The Congressional Budget Office estimates the legislation will save patients about $150 billion overall over 10 years by capping their out-of-pocket drug costs, while saving taxpayers about $450 billion over 10 years by lowering overall prices and slowing future price increases of drugs. These savings can be used to improve Medicare benefits, reduce premiums, or expand insurance coverage for seniors or others.
