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Published on: April 6, 2017
Price and Adoption of Exhalation Delivery System With Fluticasone, 2018-2023
Taylor S Erickson1, Katie M Phillips2, Akash M Bhat3
1Department of Otolaryngology-Head & Neck Surgery, University of California, San Francisco, California, USA.
High prices for the exhalation delivery system with fluticasone (EDS-FLU) may limit access. Despite manufacturer price reductions, Medicare Part D prices increased due to pharmacy markups, necessitating policy reform.
Area of Science:
- Pharmacoeconomics
- Health Services Research
- Respiratory Medicine
Background:
- The FDA approved the exhalation delivery system with fluticasone (EDS-FLU) for chronic rhinosinusitis treatment.
- Concerns exist regarding high EDS-FLU prices potentially limiting patient access.
- Limited data is available on the actual adoption and cost trends of EDS-FLU.
Purpose of the Study:
- To analyze the utilization, spending, and pricing of EDS-FLU between 2018 and 2023.
- To investigate the factors contributing to the point-of-sale price of EDS-FLU.
- To inform policy discussions on improving access and affordability of EDS-FLU.
Main Methods:
- Analysis of publicly available Securities and Exchange Commission filings.
- Examination of Medicare Part D spending data from 2018 to 2023.
- Calculation of utilization, total spending, manufacturer net price, and Medicare Part D point-of-sale price.
Main Results:
- EDS-FLU utilization and spending increased significantly (10.3-fold and 12-fold, respectively) from 2018 to 2023.
- Despite a decrease in manufacturer net price, the Medicare Part D point-of-sale price rose by 15.9%.
- Pharmacy markup constituted 69.4% of the 2023 point-of-sale net price, highlighting significant intermediary cost increases.
Conclusions:
- EDS-FLU adoption and spending have grown substantially.
- Price inflation in the pharmaceutical supply chain, particularly pharmacy markups, is a significant barrier to access.
- Policy interventions targeting pharmaceutical supply chain intermediaries are crucial for promoting access and reducing drug costs.
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