Welcome to the PhRMA newsletter, your source for biopharmaceutical news and policies impacting patients nationwide. Here’s what you should have on your radar.
From PhRMA
Hear what PhRMA experts have to say about today’s health care policies. Today, we’re taking a look back at the progress made in 2024 and what’s ahead in the new year.
Taking Action to Hold Middlemen Accountable
A Federal Trade Commission report released earlier this year revealed what many Americans sadly already know and experience: PBMs are profiting at the expense of patients. As illustrated in The New York Times, PBMs get rebates that could lower the cost of medicines by more than 50%. These savings should be passed directly to patients.
Looking ahead: Support for PBM reform in Congress and in the states is growing by the day, and we’re excited to build on this momentum to bring real change to patients in 2025.
Exposing the Unintended Consequences of the IRA
Legislators continued to push harmful price-setting policies this year that could increase costs and reduce access to medications for millions of seniors who rely on Medicare. We’re already seeing these policies threaten research and development for critical treatments for conditions like diabetes, autoimmune diseases and blood cancers.
Looking ahead: If action isn’t taken, 3.5 million Part D patients could see higher out-of-pocket costs by 2026. We look forward to collaborating with legislators to ensure patients can access the medicines they need.
Reforming 340B to Better Serve Patients
Year after year, the federal 340B hospital markup program continues to grow, but patients aren’t benefitting. Originally designed to help vulnerable patients and communities, the program has since become a hospital profit stream. This is increasing costs for everyone else, particularly patients, employers and taxpayers.
Looking ahead: As seen in Michigan and Minnesota, many across the country realize 340B isn’t benefiting patients as intended. We will continue to advocate for an effective and patient-focused 340B program.
Protecting America’s IP System
Medicine costs go down over time – unlike the rest of health care. That’s because of our intellectual property system at work. As noted in a recent USPTO report, IP fuels innovation across industries, leading to increased competition and more lower-cost generic and biosimilar options.
Looking ahead: Americans see our IP system at work each time they go to the pharmacy counter, where 90% of prescriptions are filled with generics and biosimilars. We’re committed to protecting this system and enabling innovation for years to come.
