HHS Inspector General Report: Biosimilars Could Generate Significant Medicare Part D Savings
Juliana M. Reed, executive director of the Biosimilars Forum, released the following statement about the U.S. Health and Human Services (HHS) Office of Inspector General (OIG) report “Medicare Part D and Beneficiaries Could Realize Significant Spending Reductions With Increased Biosimilar Use.”
“The HHS OIG report highlights biosimilars as a commonsense bipartisan solution to drive down prescription drug costs. The report notes that “Medicare Part D and its beneficiaries could realize significant spending reductions if biosimilar use becomes more widespread, but the lack of biosimilar coverage on Part D formularies may limit increased utilization.”
“Biosimilars could reduce drug costs by $133 billion by 2025 if their use increases. To make these cost-savings a reality, the Forum urges CMS to consider policies that accelerate greater access to all biosimilars and reduce existing barriers to the beneficiary adoption of cost-effective biosimilar products.
“This report underscores the need to make biosimilars available on formularies, and the Biosimilars Forum will continue to work with the Administration and lawmakers on both sides of the aisle to advance policies that make biosimilars accessible and available to all Americans who need them.
“Biologics make up just two percent of U.S. drug prescriptions, yet they account for 40 percent of total drug spending. Any lack of biosimilar coverage in Medicare Part D or private payer plans inhibits both access and cost-savings. It is more important than ever that agencies and lawmakers advance access to biosimilars through policies that will remove barriers and support the uptake of lower cost biosimilars for patients.”
For more information on the Biosimilars Forum’s work to increase access to lower-cost biosimilars, visit www.biosimilarsforum.org.