Worth the Price?

Recent headlines like these have stirred debate over rising drug prices. But none of them tell us about a drug’s real value. Does the drug cure a deadly disease or just add a few weeks to a patient’s life? Does it work for all patients or just for some? These are important—but frequently overlooked—questions when considering the value of a new drug and whether its price is justified.

I’m a medical oncologist, and I prescribe chemotherapy and other anti-cancer drugs to my patients.

I want to bring the best possible medical treatments to them, but I also consider other factors that will impact their lives, the lives of their families, and society as a whole. That’s why I’m interested in the cost of prescription drugs.

In the United States, the FDA approves drugs purely based on efficacy and safety, without a mandate to evaluate cost or value. Current legislation does not allow Medicare to negotiate the price of a drug—a price that is set by the manufacturer.

Among other things, this has led to escalating cancer drug prices. Most new cancer drugs now cost $10,000 to $15,000 per month.

The drug prices aren’t linked to the benefit they provide. Some drugs are truly game-changing innovations. Imatinib, for example, has converted chronic myelogenous leukemia from a rapidly fatal disease into a chronic disease that some consider close to being cured.

Other drugs, such as regorafenib, extend the life of a patient with metastatic colorectal cancer by about six weeks and do not offer the possi bility of a cure to anyone.

But why do I care about drug prices, as a physician?

Surely my responsi bility is just to give the best possible care to my patients, regardless of cost, right?

We are all paying for these high drug prices.

Your taxes are paying for patients with Medicare and Medicaid.

High drug prices can drive up the cost of private insurance expenses, which are often taken directly by your employer from your pay.

Deductibles and co-pays are increasing rapidly, due to increasing health care costs.

Recent data has clearly demonstrated