SOCIETAL BENEFITS OF BIOSIMILARS
Biosimilars help lower the costs of biologics on the U.S. health care system and help expand access to biological medicines. Patents that are expiring for several biological medicines have created an opportunity to develop biosimilars to these products and more such opportunities will be available in the future.
Some of the most difficult diseases that afflict people in the U.S. – such as cancer, anemia, inflammatory bowel disease, and autoimmune disorders such as multiple sclerosis, rheumatoid arthritis, psoriasis, and Crohn’s – may be treated or managed with biologics. Some biologic treatments are delivered in a health care setting in the form of an injectable or a solution to be injected or administered intravenously while others are available at a retail pharmacy.
While biologics make up a small percentage of the total number of drugs on the market, they can be very expensive to the patients who rely on them and are a significant cost to the U.S. health care system.
Biosimilars provide the basis for competition. In the oncology, rheumatology, dermatology and gastroenterology spaces, biosimilars have led to lower prices for reference biologics, and helping to control the growth of spending on these life-saving therapies.
In the US, biosimilars are, on average, priced 30% lower than their reference biologic counterparts. They have the potential to save the US healthcare system more than $133 billion over the next five by 2025 if their use rises.
Since the launch of the first biosimilar in the US in 2015, competition from biosimilars has lowered prices of both biosimilars and their reference biologics by average of almost 56%, with the highest up to 150%.
The growth of the biosimilar market provides multiple sourcing options for health care professionals that may enables patients to obtain early access to these important treatment options. As of early 2022, there are already five reference biological products for which multiple biosimilars are available in the US.
Broader access was observed in some European markets where the number of patients increased after the introduction of biosimilars in Europe. For example, the volume of filgrastim used in the U.K. has increased since biosimilar filgrastims have become available in that country.
The availability of biosimilars provides more treatment options and may help to bring down prices. The availability of affordable biosimilars can improve access for patients who need these life-saving therapies. The use of biologics earlier in a treatment regimen (e.g. by lessening or eliminating step therapy) may improve individual patient outcomes when compared to patients not treated with biologics until later in the treatment cycle.
The lower prices after entry of biosimilars might lessen fiscal constraints faced by patients, enabling them to stay on their therapy longer.
The availability of affordable biosimilars can improve access for patients who need these life-saving therapies.
Since the introduction of biosimilars in the US, access to biosimilars has expanded patient access and has made treatment possible for 10 million more patient days than would have occurred without biosimilars.
More biosimilars on the market means more treatment options and increased competition, which leads to high-value therapies at reduced prices. Industry experts have suggested the savings obtained with biosimilars could free up health care funding for coverage of new medicines or other health care needs.
The lower prices obtained after entry of biosimilars might make it easier for patients to remain on their therapy, leading to better outcomes and lower overall costs to payers and healthcare systems.
In the US, biosimilars are, on average, priced 30% lower than their reference biologic counterparts. They have the potential to save the US healthcare system more than $133 billion by 2025 if their use rises.
Since the launch of the first biosimilar in the US in 2015, competition from biosimilars has lowered prices of both biosimilars and their reference biologics by average of almost 56%, with the highest up to 150%.