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Pharmaceuticals / Commercial Operations

PhRMA Says Many Drug Price Discounts Don’t Reach Patients

Dec. 12, 2017

Many manufacturers are offering larger rebates on medicines, but in many cases patients do not share in the negotiated discounts, according to a new analysis from PhRMA.

More than one-third of the list price for brand-name drugs ends up either rebated back to the government or payers or are retained in the supply chain, the association found, in the report based on research it commissioned from the Berkeley Research Group earlier this year.

Despite the existence of rebates, more than half of all money paid for branded drugs out-of-pocket by commercially-insured patients derives from the undiscounted list price, the report said.

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