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Daily Briefing

Around the nation: Novo Nordisk to drop its insulin prices by 75% in 2024


Novo Nordisk on Tuesday announced plans to lower the list price of some of its insulin products by 75% in 2024, in today's bite-sized hospital and health industry news from the District of Columbia, New Jersey, and Pennsylvania.

  • District of Columbia: The Veterans Health Administration (VHA) on Monday said it plans to cover Eisai's experimental Alzheimer's drug, Leqembi. As of right now, CMS does not cover the drug, which costs $26,500 annually. Earlier this year, Leqembi received accelerated approval from FDA after data suggested that it may slow the progression of Alzheimer's disease. VHA will provide coverage to veterans living with early-stage Alzheimer's who qualify under FDA's criteria to take the medication and meet the conditions on the drug's label. An Eisai spokesperson said that while it is "difficult" to estimate how many veterans are experiencing the early stages of the disease, the company estimates roughly 80% to 90% of veterans who meet the requirements will be eligible for the drug. (González, Axios, 3/13)
  • New Jersey: Novo Nordisk on Tuesday announced plans to lower the list price of some of its insulin products by 75% on Jan. 1, 2024. The drugmaker's announcement follows a similar move by Eli Lilly, which earlier this month announced plans to cut the price of its most commonly prescribed insulin by 70% and cap insulin out-of-pocket costs at $35 a month. Following Eli Lilly's announcement, President Joe Biden called on other insulin manufacturers to drop their prices. "Novo Nordisk is playing follow the leader here, after Eli Lilly cut prices substantially on insulin products," said Larry Levitt, EVP for health policy at KFF. Currently, Eli Lilly, Novo Nordisk, and Sanofi, make up over 90% of the insulin market in the United States. Still, Stacie Dusetzina, a health policy professor at Vanderbilt University Medical Center, said Novo Nordisk faces stiff competition for these drugs. "They have little to lose by making this change," she noted. (Lovelace, NBC News, 3/14) 
  • Pennsylvania: The Department of Justice (DOJ) on Monday filed a lawsuit against RiteAid, alleging that the pharmacy knowingly filled hundreds of thousands of unlawful prescriptions for controlled substances from May 2014 to June 2019. In the lawsuit, DOJ alleged that RiteAid filled prescriptions "that were medically unnecessary, lacked a medically accepted indication, or were not issued in the usual course of professional practice." According to DOJ, this allegedly included prescriptions for excessive amounts of opioids and for "trinities" — a highly abused drug that is a combination of an opioid, benzodiazepine, and muscle relaxant. DOJ claims that RiteAid filled prescriptions despite clear "red flags" that indicated they were "unlawful." In addition, prosecutors accused RiteAid of ignoring evidence presented by some of its pharmacists, its distributor, and its own internal data. DOJ also alleged that the pharmacy intentionally deleted internal notes about suspicious prescribers. "The present opioid epidemic is a national public health emergency," the lawsuit states. "Hundreds of thousands of Americans have died from drug overdoses over the last decade." (Habeshian, Axios, 3/13)

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