Adrian Towse

Oct 10, 2024 | healthaffairs.org | Adrian Towse |Louis P. Garrison

The Inflation Reduction Act (IRA) of 2022 includes a complex set of provisions that will have the effect of reducing and reorienting federal spending on medicines for the elderly and disabled. The IRA marks a transformative shift in US policy by authorizing the Centers for Medicare and Medicaid Services (CMS) to implement a Medicare Drug Price Negotiation Program (MDPNP) to decrease spending on eligible drugs in Medicare Parts B and D by establishing a Maximum Fair Price (MFP) for them.

Jun 5, 2023 | healthaffairs.org | Louis P. Garrison |Adrian Towse

The Inflation Reduction Act (IRA) of 2022 Section 1193 states that when engaging in drug price negotiation, the Secretary of Health and Human Services should consider, among multiple factors, manufacturer-submitted data on the drug’s “research and development costs,” as well as “the extent to which the manufacturer has recouped research and development [R&D] costs.” And in its initial March 15, 2023, guidance for implementation of the Negotiation Program, the Centers for Medicare and Medicaid...

Jun 5, 2023 | tinyurl.com | s’ Note |Louis P. Garrison |Adrian Towse

The Inflation Reduction Act (IRA) of 2022 Section 1193 states that when engaging in drug price negotiation, the Secretary of Health and Human Services should consider, among multiple factors, manufacturer-submitted data on the drug’s “research and development costs,” as well as “the extent to which the manufacturer has recouped research and development [R&D] costs.” And in its initial March 15, 2023, guidance for implementation of the Negotiation Program, the Centers for Medicare and Medicaid...

May 4, 2023 | healthaffairs.org | Jason Shafrin |Darius Lakdawalla |Jalpa A. Doshi |Louis P. Garrison |Anup Malani |Peter J. Neumann | +3 more

Medicare drug price negotiation is almost upon us. The Inflation Reduction Act (IRA) mandates that the Centers for Medicare and Medicaid Services (CMS) implement a maximum fair price (MFP) for drug price negotiation beginning in 2026. How should CMS implement such a program given such a short timeline? We recommend a three-step approach to implementing the MFP that moves toward a drug pricing paradigm based on treatment value.