BioCentury
ARTICLE | Company News

SSR report links PBM exclusions to cresting drug prices

September 11, 2015 1:44 AM UTC

A report from investment research firm SSR Health found that after rebates and discounts, the net price of U.S. branded prescription drugs grew by 0.7% year over year in 2Q15, compared to a 4.4% increase in 2Q14. SSR Health attributed the slowdown largely to price declines in four categories due to formulary exclusion strategies used by PBMs such as Express Scripts Holding Co. (NASDAQ:ESRX) and CVS Health Corp. (NYSE:CVS).

The report said net prices declined among HCV drugs, rapid-acting and mix insulins, long-acting insulins and chronic obstructive pulmonary disease (COPD) combination treatments, which PBMs have shown a willingness to exclude. Last year, Express Scripts launched an HCV price war when it granted Viekira Pak from AbbVie Inc. (NYSE:ABBV) exclusive formulary status in exchange for undisclosed rebates, snubbing Sovaldi sofosbuvir and Harvoni ledipasvir/sofosbuvir from Gilead Sciences Inc. (NASDAQ:GILD) (see BioCentury, Jan. 26). ...