Biosimilars saved the healthcare system $21 billion over the past six years, according to a recent Amgen report.
Nearly 40 biosimilars received regulatory approval over that period, with 22 products launched. The report found that these biosimilars have gained a significant market share during that time and argued that the additional competition may lead to meaningful savings for the healthcare industry, leading to more resources allocated for innovative treatments.
The report found that the average sales price for reference products and biosimilars has declined since 2015. For biosimilars, the price has decreased at a negative compound annual growth rate of -9% to -24%, while reference products fell at a negative CAGR of -4% to -21%.
During Q2 2022, Amgen estimated that total drug spend savings reached $3.2 billion.
Meanwhile, the rate of biosimilar uptake has increased over the past few years, with first-to-launch drugs accruing a larger market share compared to later entrants, the report found.
Additionally, Amgen posited that biosimilars are poised to transform the U.S. marketplace and that the company is positioning itself to reinforce confidence in these drugs as a treatment option among patients, providers and pharmacists.
“Over the next few years, the growing number of commercially available biosimilars is expected to change the treatment landscape, providing more options while creating much-needed headroom for innovation in the health system,” Jen Norton, VP of US value and access at Amgen, said in a statement. “We expect to see further expansion of biosimilars into pharmacy benefit reimbursement, launches in more therapeutic areas, and the approval of additional interchangeable biosimilars.”
Amgen’s study was released less than two weeks after an Association for Accessible Medicines report estimated that generic drugs and biosimilars saved the healthcare system $373 billion in 2021. The study highlighted the effects of biosimilars like Yusimry, the cheaper version of Humira, on reducing spending on autoimmune diseases.
In its report, Amgen said there is a possibility that there will be seven or more Humira biosimilar launches next year.
Looking ahead, the report indicated that there will be an expansion of biosimilars into pharmacy benefit reimbursement along with biosimilars in more therapeutic classes.
