Campaign proposes 'market-based solutions' to rein in drug prices

The AHA today joined a coalition of health care providers, insurers and seniors in calling for greater transparency, competition and value to rein in soaring prescription drug prices. Among other “market-based solutions,” the Campaign for Sustainable Rx Pricing proposed requiring drug makers to release a drug’s unit price, cost of treatment and projection on federal spending before Food and Drug Administration approval; speeding FDA approval of generic drug applications – especially for lifesaving drugs; reducing drug monopolies by incentivizing competition for additional market entrants; increasing funding for research on drug pricing and value; and requiring drug makers to compare cost and outcomes of new versus existing drugs. Participating in a Washington, D.C., briefing on the proposals, AHA President and CEO Rick Pollack, said they “strike a balance between preserving innovation and ensuring affordability,” noting that prices for brand name drugs have surged 127% since 2008. When patients cannot afford to buy their medicines, “they either get readmitted to the hospital … or they end up coming in through the emergency department,” he said.