Drugs prices could go lower if President Trump succeeds in getting Pharma companies to list prices on their TV advertisements.
The Department of Health and Human Services (HHS) released a proposed regulation that would change the current status quo. It would require companies that sell drugs covered by Medicare or Medicaid to list the standard price in their ads, if the price is higher than $35 per month.
HHS Secretary Alex Azar suggested the policy change would help bring down drug prices.
President Trump wants more transparency in the drug market and price listing in media ads is a good place to start. He believes that showing the list prices of drugs paid for by Medicare or Medicaid will achieve that. Senior citizens deserve affordable drug prices.
Drug Prices: Big Pharma Is Angry
Drug companies are angry. They claim that the drug’s list price may not resemble what you, the patient, will actually pay. Other factors such as insurance, can add on and determine the actual final price.
This could be anywhere from $0 to even an amount greater than the drug’s list price.
Indeed, earlier this year, the Food and Drug Administration formed a working group to also consider mandating drug prices in ads. However, the Centers for Medicare and Medicaid Services (CMS) took it over.
Implementation of the final rule, therefore, would rest with CMS.
Currently, HHS claims, their determination to lower drug prices has already had some effect on lowering prices. If the proposed rule passes, the expectation is that there actually will be lower prices across the board.
In the interim, HHS is taking comments for the next 60 days, after which it will publish and implement the final rule. From that point, it would go into effect, one month later.
Rest assured that this fight is at its beginning stages, and that the Pharma industry will fight hard to maintain control over their pricing policy.