One of the topics I explored in this month’s edition of Monthly Market Insight was the relationship between drug proces and the idea of patient centricity.
What is the price of Sovaldi? Well if you live in France, it’s about $51,000 but if you live in the US it’s about $84,000. Oh, and if you want the combo treatment with Harvoni, your cost goes up to $94,500. Juxtapose that price tag to the recent issue of PharmaVOICE, whose theme is “Pulling Patients into the Focus of Business Models.” I definitely see a need to align with patients to consider them in business models especially when the price that is probably well beyond the reach of many patients. In fact, the median U.S. household income was $51,900 in 2013, so the price of just Sovaldi is 38% higher than the median income.
As patients move from recipients to participants, the industry needs to align strategies that pull them into the focus of future business models.”–PharmaVOICE, the Power of the Patient
Understanding that most patients will not burden the entire cost, there will most likely be higher risk sharing though insurance coverage. Whether it be a 20% coinsurance of Tier 3 or 4 payment, for many people, their out-0f-pocket cost may put the drug beyond their financial reach.
My guess is, though, if you asked patients about wanting to take a drug like Sovaldi, they may say yes as it cures the disease. And as Allan Korn will discuss on December 11th at the Real World Evidence Summit, if patients were truly incorporated into business models, they would “…evaluate products against patient-centered criteria such as: lack of other therapeutic options, survivability enhancement, lowered morbidity, substantially better outcomes…”
Drugs should not be evaluated on price alone – but on patient need clinical significance. We are at a crossroads – which way are you going?