Lawmakers Scrutinize Pharma’s Telehealth Marketing Tactics Amid Concerns Over Patent Abuse and High Drug Prices
Pharma Telehealth Programs Under Scrutiny:
Lawmakers are questioning pharmaceutical companies' use of telehealth programs to market medicines, citing concerns over potential misuse and lack of regulation1.
Patent Abuse and High Drug Prices:
Pharmaceutical companies are accused of exploiting the patent system to extend monopolies and keep drug prices high. For example, brand name drug makers use device patents to build patent thickets around GLP-1 weight loss drugs, effectively blocking generic competition2.
Economic Impact:
The abuse of the patent system costs U.S. consumers billions. For instance, patent thickets on drugs like Humira, Imbruvica, Eylea, Enbrel, and Opdivo amount to over $16 billion in additional costs annually2.
Legislative Efforts:
Lawmakers are pushing for reforms, such as the Affordable Prescriptions for Patients Act, to limit patent abuse and promote competition from generic and biosimilar drugs24.
Global Price Disparities:
Americans pay significantly more for prescription drugs compared to other developed countries. For example, drugs like Crestor and Humira are priced much higher in the U.S. than in Germany, Canada, and France3.
Industry Practices:
Pharmaceutical companies have been accused of exploiting regulatory loopholes, such as the Orphan Drug Act, to delay generic competition and maintain high prices3.
Political and Legal Challenges:
The pharmaceutical industry is expected to challenge the implementation of drug pricing laws, such as the Inflation Reduction Act, which allows Medicare to negotiate drug prices4.
Sources:
1. https://endpts.com/pharma-telehealth-programs-are-catching-on-and-raising-questions/
2. https://www.csrxp.org/second-opinion-big-pharma-once-again-tries-to-defend-the-patent-abuse-status-quo/
3. https://www.richmondfed.org/publications/research/econfocus/2017/q4/coverstory
4. https://www.politico.com/news/2022/12/29/democrats-drug-pricing-medicare-00075246