Video: How does the supply chain shape brand-name medicine prices?

Holly Campbell   |     March 19, 2018   |   SHARE THIS

A medicine’s path from the biopharmaceutical company to the patient is complex and involves many entities across the biopharmaceutical supply chain. In fact, more than one-third of the initial list price of a medicine is rebated back to middlemen in the biopharmaceutical supply chain – like insurance companies, pharmacy benefit managers (PBMs), wholesalers and pharmacies – or the government. But too often these negotiated savings are not shared with patients, who are increasingly being asked to pay more out of pocket.

In this new video, we examine how money flows through this system and how that impacts what patients pay at the pharmacy. The video also provides two hypothetical examples to illustrate how money flows through the supply chain when a patient is purchasing a medicine with a copay and with a high-deductible health plan.

Patients share the costs. They should share the savings. Learn more at www.letstalkaboutcost.org.

Holly Campbell

Holly Campbell Holly Campbell is former deputy vice president of public affairs at PhRMA focusing on the cost and value of medicines. Prior to joining PhRMA, Holly worked for large and small public relations firms where she provided strategic communications counsel, media relations and partnership expertise to health care and pharmaceutical clients. In her free time, she enjoys taking barre classes, trying new restaurants and spending time with Boss and Poppy, her rescue pups.

Topics: Drug Cost, Let's Talk About Cost

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