EXPECTED PRESCRIPTION DRUG PRICE INFLATION RATE INCREASES FROM JULY 1, 2022, TO JUNE 30, 2023
- 3.09% estimated overall drug price inflation rate
- 3.37% specialty drugs
o 2.43% biologics
o 0.94% non-biologics
o 4.28% increase in retail
o 2.68% increase in infusion/clinic
- 3.51% pediatric drugs
- 3.14% oncology drugs
o 22.93% of drug spend is for oncology
- 2.59% infectious disease drugs
o 14.50% of drug spend is for infectious diseases
- 4.17% biologics
o 16.66% of drug spend is for biologics
- 4.19% multiple sclerosis (MS) drugs
o 4.41% of drug spend is for MS
- 3.92% plasma critical care products
o 4.17% of drug spend is for plasma critical care products
A SHIFT IN HEALTHCARE SERVICES
- 11% reduction in skilled nursing home volumes because patients prefer care provided in their own homes
- The COVID-19 pandemic is responsible for “a welcome move” toward home-based care:
o Home infusion
o Hospital-at-home
o Ambulatory surgery centers
o Skilled nursing services at home
o Virtual visits/telehealth
A SLOW MOVE TO BIOSIMILARS
- Adalimumab had been the top spend across the U.S. for many years.
o The launch of biosimilar Humira into the U.S. market will disrupt overall spend in the non-acute market.
o Adalimumab sales reached about $20 billion globally and $16 billion in the U.S. from October 2020 to September 2021.
- Remdesivir has taken the top spot in overall spend for Vizient and Provista members, due to the pandemic.
5 AREAS OF FOCUS FOR 2022
Health system executives should focus on these areas when planning pharmacy strategies:
- Ending drug shortages and ensuring permanent supply chain resilience
- Maximizing the biosimilar opportunity with insulin and adalimumab
- Aligning pharmacy with other critical stakeholders, with an emphasis on payers
- Understanding that advocacy importance continues to grow
- Amplifying the non-acute footprint, including expanding virtual care
3 NEXT STEPS FOR HEALTHCARE PROVIDERS
- Manage and maximize health system efficacy and efficiency in non-acute care
- Prepare for legislation, regulatory and judicial action impacting drug expenses
- Avert the next immediate and long-term disasters
Source: “Pharmacy Marketing Outlook Winter 2022,” Vizient, January 2022.
