High cost drugs and the value of a few more weeks of living…
The Los Angeles Timeson Sunday examined the “new generation of hyper-expensive cancer drugs”that tend to extend lives by only a few months. According to the Times,the high prices of the drugs, which can cost as much as $100,000 for ayear’s supply, and their relatively limited health benefits “havesparked arguments among policymakers and medical professionals aboutwhat to do with the growing number of people who are depleting theirlife savings on the drugs, or worse, who can’t get them at all.” Drugcompanies and some patients “insist even incremental gains” in theirhealth “are worthwhile,” even as the cost burden of such drugs growsfor patients, who increasingly are paying percentages of treatmentrather than copayments, according to the Times. In addition, because insurers typically pay for FDA-approveddrugs, the cost of covering the treatments “would eventually spill intothe nation’s overall medical bill and therefore would raise everyone’sinsurance premiums,” the Times reports. FDA approval ofthe drugs for use in early-stage cancers also could significantlyexpand usage, which could increase health care costs overall. Somephysicians have begun to offer payment plans to patients who use thedrugs, and some biotech drug manufacturers have placed caps on patientspending. For example, patients can receive Amgen‘sVectibix for no cost after copays for the drug exceed 5% of theiradjusted gross income. Meanwhile, patient advocacy groups, such as Breast Cancer Action,are pushing for legislation that would limit the prices drug companiescould charge for biotech drugs. Peter Neumann, director of the Center for the Evaluation of Value and Risk at Tufts-New England Medical Center,said, “In terms of the cost of a life saved, it’s possible other areasof medicine, like better disease prevention or better cardiovascularcare, may be more effective” (Costello, Los Angeles Times, 3/18).