Rapidly rising drug prices have caught the attention of health care leaders, who are calling for drug pricing policy reform. What can California do to address this problem?
When the Price Is Not Right: State Options on Prescription Drug Pricing (971 K)
In 2013, more than three million patients with hepatitis C in the US heard the good news about Gilead Sciences' effective new drug Sovaldi. The bad news: It cost $84,000 for one three-month course of treatment. Such exorbitant prescription drug price tags have caught the attention of health policy leaders who are working toward drug pricing reform. But they struggle to balance concerns about preserving affordability while assuring support for innovative prescription drug research.
In response to California's interest in pursuing reasonable and effective strategies for high-value medical care, this issue brief presents information about the cost of prescription drugs, details the landscape of rebates and barriers (primarily around outpatient prescription drugs), describes the various strategies being pursued at the national and state levels, notes California's own efforts, and speculates on possible outcomes.
The paper highlights several key strategies:
The full issue brief is available as a Document Download.