Rising Costs of Otic Drops: Review of a National Database

Area of Science:

• Otolaryngology
• Health Economics
• Pharmaceutical Pricing

Background:

• US prescription drug prices represent a substantial portion of healthcare expenditures.
• Otic drops are frequently used in otolaryngologic practice, making their pricing a relevant concern.

Purpose of the Study:

• To investigate the price trends of otic drops in the US from 2012 to 2020.
• To determine if otic drop price increases exceeded the overall inflation rate.
• To explore potential correlations between otic drop price fluctuations and corporate or political events.

Main Methods:

• Analysis of publicly available otic antibiotic drop pricing data from 2012 to 2020.
• Correlation of pricing data with contemporaneous public information on corporate and political events.

Main Results:

• Several otic drops, including branded and generic formulations, showed significant price increases between 2014 and 2020.
• Generic ofloxacin otic drops exhibited extreme price volatility, with a temporary price increase of 945% in 2015-2016.
• Overall price increases for otic drops surpassed the general inflation rate during the study period.

Conclusions:

• Otic drop prices are volatile and have increased at a rate higher than inflation.
• Lack of transparency in drug pricing hinders cost-conscious decision-making for prescribers and patients.
• Six factors contributing to high US medication prices are discussed, with specific examples of otic drop price fluctuations highlighted.