Cancer patients may face out-of-pocket costs of $16,500 or more annually, according to a recent report out of Patients for Affordable Drugs.
The study, conducted in partnership with the National Opinion Research Center at the University of Chicago, examined how drug pricing provisions included in the Inflation Reduction Act passed last year would impact cancer patients.
In particular, the group wanted to find out how the $2,000 yearly cap on out-of-pocket prescription drug costs in Medicare would reduce prices for cancer patients.
The report examined more than 61,000 Medicare recipients — and found that 99% of them would save money due to the $2,000 out-of-pocket cap provision. Patients would save about $7,590 per year on average, with some patients saving nearly $20,000.
Patients taking Revlimid – a therapy that treats myelodysplastic syndrome, multiple myeloma and mantle cell lymphoma – as well as Pomalyst would see the most significant savings, the report found.
“Far too many are forced to choose between filling their prescription and bearing significant financial hardship, or abandoning the prescription and experiencing worsening health or even death,” David Mitchell, founder of Patients for Affordable Drugs, said in a statement.
He added that the Inflation Reduction Act would bring “needed relief to millions of patients” and that the organization has been “waiting for this relief far too long.”
The report delved into seven highly-priced cancer medications — including Ibrance, Pfizer’s breast cancer drug that first came to market at $9,850 per bottle in 2015. Since then, the list price of Ibrance has risen to $15,000 per bottle as a result of Pfizer increasing the cost year-after-year.
Likewise, Celgene’s Revlimid has tripled in cost since coming to market in 2006. In 2021, Medicare Part D spent more than $5.8 billion on the drug for more than 45,000 patients.
As for Imbruvica, Johnson & Johnson’s best-selling cancer drug, patients now pay up to $17,000 per month as a result of eleven price hikes.
The report comes as a continued push for drug pricing regulation in Congress — much of it spearheaded by Sen. Bernie Sanders, (I-Vt.) — clashes with pushback from the pharma industry.
Just last week, Merck became the first pharma company to sue the federal government over the drug pricing provisions in the Inflation Reduction Act, focusing primarily on the new power given to Medicare to negotiate the prices of certain Part D drugs.
Even with the landmark health legislation passed, however, Sanders and others in Congress are hoping to advance more drug pricing legislation, including in regards to pharmacy benefit managers.
Seeking to leverage his position, Sanders announced this week that he would oppose President Biden’s National Institutes of Health director nominee until the administration develops a plan to reduce the cost of prescription drugs.
