California reports first cost data for prescription drugs

The California Office of Statewide Health Planning and Development recently released the nation’s first mandatory data on wholesale acquisition cost increases for prescription drugs. The state this year began requiring drug makers to report WAC increases for drugs when they exceed 16% over two years, including the reasons for the increases if publicly available. The three-year median increase for drug makers submitting data in first-quarter 2019 was 25.8%. Generic drugs experienced the largest median increase at 37.6% overall and 156.4% for those under $100. Brand name drugs with a wholesale cost greater than $10,000 rose a median 30.4%. More than two-thirds of those submitting data did not provide reasons for the price increases.