RECALIBRATE YOUR HEALTHCARE STRATEGY
Learn 4 strategic pivots for 2025 and beyond.
Learn more

Daily Briefing

Around the nation: Price increases for 500+ drugs expected this month


Several major drugmakers are expected to raise the costs of over 500 drugs in early January, in today's bite-sized hospital and health industry news from California, Maryland, and Ohio.

  • California: In December, Apple temporarily halted sales of some Apple Watches in the U.S. market after the International Trade Commission (ITC) ruled that the company infringed on patents from Masimo, a pulse oximeter company. ITC placed an import ban on Apple Watches that include technology for reading blood oxygen levels, and the company removed products with oxygen measuring capabilities from its website on Dec. 21 and from its stores on Dec. 24. However, Apple soon filed an emergency request with the U.S. Court of Appeals for the Federal Circuit to pause the import ban. On Dec. 27, the appeals court granted Apple's request, pausing the ban while it considers the company's request for a longer-term pause during the appeals process. The court has also given ITC until Jan. 10 to respond to Apple's request. According to analysts, a final decision could ultimately cost either company millions of dollars and potentially lead to a settlement or technological workaround from Apple. (Lawrence, STAT+ [subscription required], 12/18; Brittain/Singh, Reuters, 12/27)
  • Maryland: FDA last month classified a recall of Phillips medical imaging devices as "most serious," which means that their use could cause serious injuries or death. Some potential health consequences of using affected systems include chemical exposure, lack of oxygen, and tissue damage. According to Reuters, Phillips is recalling some models of its Panorama 1.0T HFO device in the United States due to the potential risk of explosion caused by excessive helium gas buildup during a "quench procedure." The company began the recall process on Nov. 30, and has recalled 150 devices in the United States so far. Customers with operational systems have also been notified, and around 80% of the systems have been inspected. Phillips plans to complete the remaining inspections this year. (Reuters, 12/20)
  • Ohio: According to new research from healthcare research firm 3 Axis Advisors, several major drugmakers, including Pfizer, Sanofi, and Takeda Pharmaceuticals, are planning to raise the prices of over 500 drugs in early January. Excluding different formulations and doses, over 140 brands of drugs are expected to see price increases this month. Since 2019, drug prices have increased at a median of around 5%. More price increases are also expected to be announced throughout January, which has historically been when drugmakers announce the most increases. In 2023, drugmakers increased the prices of 1,425 drugs, and in 2022, they raised prices for 1,460 drugs. Even though many drugmakers are increasing the prices of their drugs, three companies, including GSK, have announced that they will lower prices for at least 15 drugs. Last year, several companies announced price decreases for their insulin products to avoid potential penalties under the American Rescue Plan Act. (Erman/Wingrove, Reuters, 12/29; Goldman/Reed, "Vitals," Axios, 1/2)

Tackling the myth that larger drug copays lower cost of care

Increasing patient cost-sharing on drugs can lower medication use, which can increase medical costs down the line. Learn better ways to shape drug benefits.


SPONSORED BY

INTENDED AUDIENCE

AFTER YOU READ THIS

AUTHORS

TOPICS

INDUSTRY SECTORS

RELATED RESOURCES

Don't miss out on the latest Advisory Board insights

Create your free account to access 1 resource, including the latest research and webinars.

Want access without creating an account?

   

You have 1 free members-only resource remaining this month.

1 free members-only resources remaining

1 free members-only resources remaining

You've reached your limit of free insights

Become a member to access all of Advisory Board's resources, events, and experts

Never miss out on the latest innovative health care content tailored to you.

Benefits include:

Unlimited access to research and resources
Member-only access to events and trainings
Expert-led consultation and facilitation
The latest content delivered to your inbox

You've reached your limit of free insights

Become a member to access all of Advisory Board's resources, events, and experts

Never miss out on the latest innovative health care content tailored to you.

Benefits include:

Unlimited access to research and resources
Member-only access to events and trainings
Expert-led consultation and facilitation
The latest content delivered to your inbox
AB
Thank you! Your updates have been made successfully.
Oh no! There was a problem with your request.
Error in form submission. Please try again.