ICER Report Highlights Unjustified Price Hikes on Five Brand-Name Drugs, Costing U.S. $815 Million in 2023

Unsupported Price Increases:
The Institute for Clinical and Economic Review (ICER) identified five drugs with substantial price increases in 2023 that were not supported by new clinical evidence. These drugs are Biktarvy, Darzalex, Entresto, Cabometyx, and Xeljanz13.

Financial Impact:
These unjustified price hikes resulted in an additional $815 million in costs to the U.S. healthcare system in 202313.

Specific Price Increases:

Biktarvy (Gilead Sciences):
5.9% price increase, costing an additional $359 million.

Darzalex (Johnson & Johnson):
7.6% price increase, costing an additional $190 million.

Entresto (Novartis):
6.2% price increase, resulting in $108 million in additional spending3.

Methodology:
ICER used a systematic review of evidence to determine whether new moderate or high-quality evidence supported the price increases. The criteria included drugs among the top 250 by 2023 U.S. sales revenue, with Wholesale Acquisition Cost (WAC) list price increases exceeding the consumer price index plus 2%, and significant net price increases after rebates and concessions1.

Concerns:
The report highlights the need for increased competition and lower drug prices, emphasizing the impact of these price hikes on patients and the healthcare system3.

Sources:

1. https://icer.org/news-insights/press-releases/icer-announces-most-significant-drug-price-hikes-unsupported-by-new-clinical-evidence-in-us/

3. https://www.csrxp.org/big-pharma-watch-unjustified-price-hikes-on-five-brand-name-drugs-cost-u-s-815-million-in-2023/