How can drug co. justify this?

A product, according to last nights news, that cost about a dollar to produce, is really socking it to us again. The hell of it is, they do it right out in the open and no one can do a thing about it.


As parents check off items on the back-to-school list, many are suffering sticker shock at the price increase for EpiPens, potentially lifesaving devices that counter an allergic reaction — and that now cost more than $600.

Several factors have contributed to the pinch patients are feeling: There is no generic equivalent for EpiPens, the only competitor was taken off the market last year, and changes to high-deductible insurance plans mean much higher out-of-pocket costs for many, experts say.
A prescription cost $57 in 2007. Now sold in packages of two, EpiPens cost more than $600 for the two-pack, even though a dose of the drug itself costs less than $2, North Jersey physicians say.
“More and more parents are complaining over the last month that the cost of EpiPens has gone through the roof, making it very difficult,” said Dr. David Nam*erow, a Fair Lawn pediatrician.
“They seem to be taking advantage of the most vulnerable kids with food allergies, and the parents have no alternative,” he said.
The device allows a person to inject a dose of epinephrine — also known as adrenaline — into the thigh to stop a potentially life-threatening reaction to peanuts, eggs, other foods or insect bites. The severe reaction is known as anaphylaxis. Symptoms include swelling of the lips or tongue, shortness of breath, wheezing, dizziness and worse.
On Saturday, Sen. Amy Klobuchar, D-Minn., called on the Senate Judiciary Committee to hold hearings on the price increase.
“Patients all over the U.S. rely on these products, including my own daughter,” Klobuchar said in a statement. “Not only should the Judiciary Committee hold a hearing, the Federal Trade Commission should investigate these price increases immediately.
Up to 6 percent of children have food allergies, according to the federal Centers for Disease Control and Prevention. Studies show that up to 18 percent of children with food allergies have had a reaction after accidentally eating allergens at school, according to the CDC. Four percent of adults have food allergies.
The number of children affected is growing. The prevalence increased by 18 percent between 1997 and 2007, according to the CDC. Nearly nine in 10 schools nationally had one or more students with food allergies.
Many parents keep one EpiPen at home and send the other to school with their child. At a middle school in Ridgewood, for example, 27 EpiPens are kept in the nurse’s office — each needing to be replaced as the medication expires, said Dr. Patricia Hicks, an allergy expert at The Valley Hospital in Ridgewood.
“Parents are furious” over the cost increase, said Hicks, who also practices in Ho-Ho-Kus.
“In the last week I wrote 30 prescriptions for my patients returning to school,” she said. “Many of them need more than two.”
“How do they justify this,” Hicks asked, when the drug isn’t new?
It’s a conundrum in medicine pricing today: Even when a drug has been available for years and hasn’t been approved for any new use, costs can increase significantly. Hicks cites the increase in the price of insulin — it’s been around for decades, yet some drug companies have increased wholesale prices by more than 160 percent in the past five years, according to a 2015 Bloomberg Health Report.
A spokeswoman for Mylan, the manufacturer of EpiPens, would not comment directly on the price increases, but released a statement Friday.
“Mylan has worked tirelessly over the past years advocating for increased anaphylaxis awareness, preparedness and access to treatment for those living with potentially life-threatening allergies,” the statement said.
“Given the unpredictable and life-threatening nature of anaphylaxis, nothing is more costly than failed or no treatment.’’
The company said it provided coupons to reduce costs, and that last year nearly 80 percent of commercially insured patients paid nothing for a prescription.
Insurance companies increasingly are offering high-deductible plans, and research shows that such plans represent the only option for employees of more than one in five companies. Insurers note that when consumers select plans, they often opt for higher deductibles in exchange for the benefit of lower premiums.
Dr. Evelyn Hermes-DeSantis, a clinical professor at the Ernest Mario School of Pharmacy at Rutgers University, attributed the price increases for EpiPens to the virtual monopoly Mylan has on the drug. After a competitor voluntarily pulled its product from the market last October because of dosing problems, that left only Adrena*click, a device that delivers the same drug as EpiPen but that is harder to use.
The FDA doesn’t consider Adrenaclick “therapeutically equiv*alent,” so doctors won’t write the prescriptions unless patients ask for it, and insurers may not pay, physicians say. At around $400 for two devices, “it’s cheaper but it’s still pricey,” Hermes-DeSantis said. A generic version of Adrenaclick is available, but the same issues over ease of delivery of the medication are a factor, she said.
A spokesman for Impact Laboratories, the drug maker that produces Adrenaclick, said the devices are produced manually and the supply is limited. “We are investing in automation,” said Mark Donohue, a vice president and spokes*man. “We’re trying to produce as much as we can, and it’s a lower-cost option.”
Dr. Mary Ann Michelis, chief |of allergy and immunology for *pediatrics and internal medicine |at Hackensack University Medical Center, acknowledged that drug makers “can charge whatever |they want,” and that she had |heard complaints from many patients.
“The second factor here is the absurd charges by insurance companies through their deductible policies,” Michelis said. “You have relatively young people and the cheapest insurance they can get has deductibles from $1,500 up to several thousands of dollars. There is no way a healthy kid is going to eat up that deductible, so parents are paying the full cost.”
 

That is such an outrage. That is why insurance keeps going up. Then there is more out of pocket for the patient. I think they should make it a crime to do something like that. That they hold a monopoly on the drug is troubling. To raise the price of a drug to make up for other losses in a company seems unethical to me.
 
Yeah... but any regulations suggested against the drug companies and their pricing is fought tooth an nail in Washington.. (I'm not naming which party as this is not the political forum) Guess we just have to pay it. we are at their mercy.
 

I know the conservative ideal of lift yourself up by your boot straps. But just really besides being outrageously unethical...Put yourself in the position of you are retired and on fixed income. Your grand child has potentially life threatening allergic reactions. He or she might need an Epi-Pen or three throughout the school year. Of course you have an extra $1500 floating around to help out...or you don't, and his parents don't, and the family makes way too much for Medicaid or other assistance.

I mean you can leaf through all the savings and assistance plans and hopefully find something that suits your needs. But I feel Big Pharm should be cracked down and strictly regulated. You've got demons like Shkreli profiting off people's lives.
 
I got stung badly by a nest of yellowjackets a few years ago, and the wife called an ambulance. When the paramedics arrived, they gave me a couple of Benadryl pills, which quickly knocked down the dizziness and swelling. They also recommended that I keep an EpiPen in the house, just in case. I bought two of them, and paid probably no more than $100 for the pair....and that was perhaps 6 or 7 years ago. To see this drug company now trying to get over $600 for a single dose is almost Criminal. If our government had any "cahones", it would step in and fine this company a good solid 7 or 8 figures.
 
Good evening to all- Lord, is this a hot-topic with me.
I am on several long-term- that means the rest of my life- meds. they work very well, and very grateful for them, I am.
Two of them are now in generic forms- they cost me $6 per refill. the other is still under patent protection, and it's up in the hundreds per refill.
So, how can the drug companies make it on $6 generic forms and yet other meds cost so much?
Because the drug companies are damned robbers- that's how. All of their fancy TV ads and such that show how nice they are for all of us poor sick people- garbage!
Drug companies are huge money-making companies and the ONLY thing they are concerned with is the profit margins on their meds.
Yes, the pharm companies have us by the whatevers- when you're sick, you have to have the meds, and you'll do whatever it takes to get it.
But the pharm companies are in it for the money- not for the people.
The only business entities worse than the pharms are the insurance companies. And isn't an odd thing how these two businesses- insurance and pharms- costs have both skyrocketed at the same time? Almost makes you think there's connection, now doesn't it?
Good evening to all- Ed
 
I'm just curious about the legal side of it. I mean life-saving medications, psych meds, everyday pills that can keep various conditions from getting worse...isn't there ANY regulation on pricing? I mean hey you might die or end up in a padded room because you can't afford the $500 markup on your prescription...well sucks to be you. Aren't there any political figures that could changes something?
 
Pharmaceutical companies spend millions of dollars for federal lobbying and campaign funding. I'm sure that has a lot to do with it. Hard to smack the hand of those greasing your palms.
 
Pharmaceutical companies spend millions of dollars for federal lobbying and campaign funding. I'm sure that has a lot to do with it. Hard to smack the hand of those greasing your palms.

Not only do drug companies spend millions/yr. greasing the politicians pockets, but they also spend 100's of millions/yr. advertising their junk on TV. Presently, an average commercial on national TV costs over $300,000 per spot. So anyone taking these drugs can be secure in the knowledge that when they see an "ask your doctor" ad on TV, they, the patient, are helping pay for that commercial.

Now, CNBC just announced today that Medicare Part B premiums will be going up an average of about 16% in 2017...and the COLA is expected to be only .2%...so the average SS recipient will probably see a net loss of about $40 a month in 2017, That, plus a collapse of Obamacare in more and more markets, and expected increases of anywhere from 10 to 50% in most current private health care insurance plans, should be a clear signal that our present system is headed for serious problems...and not very far into the future.
 
Yes, Don. Pharm companies have plenty to spend. This is why nothing is done when they pull these stunts. A 500% markup is obscene, in my view, but with their lobbying efforts and PAC's, hard to come down on them without appearing disloyal. They make large campaign contributions! I doubt the senate hearing will go anywhere. I'm a bit of a cynic but my feelings, it's for show. They should all be ashamed of themselves.
 
Once again an example of how money in politics combined with the lack of term limits on members of congress has combined to allow Big Pharma to screw families. This all has to do with boosting profits and thus share price, to which CEO performance is usually tied. Until we get much of the money/lobbying out of politics, nothing will change.
 
Yes, Don. Pharm companies have plenty to spend. This is why nothing is done when they pull these stunts. A 500% markup is obscene, in my view, but with their lobbying efforts and PAC's, hard to come down on them without appearing disloyal. They make large campaign contributions! I doubt the senate hearing will go anywhere. I'm a bit of a cynic but my feelings, it's for show. They should all be ashamed of themselves.

A person taking a drug costing $100 here, can go to Canada or Mexico, and get the same drug for not much more than Half that price. This should be telling our politicians something. If our government REALLY cared about health care and its costs, they would convene a study to look at what is working for the people in other nations, and begin to phase in many of the other nations policies. Over a period of 5 or 10 years, our system could equal those in other nations, and we would All be far better off. As it stands now. millions of our people cannot afford to get the health care they need, and that number is growing every year. The ONLY ones who are reaping the benefits of health care here, are the corporations, and our Health Care Industry. At least they are finally telling us the truth....we used to have a Medical Profession...but now it is called the Health Care Industry, and the Primary objective of Any Industry is to Make Money.

However, we cannot place All of the blame on this Industry. Our own people are NOT taking steps to insure their own good health. The CDC statistics show that at least 30% of our costs are related to Obesity. When you add in things like smoking and alcoholism, half our costs could be prevented if people took some responsibility for their own well being.
 
A person taking a drug costing $100 here, can go to Canada or Mexico, and get the same drug for not much more than Half that price. This should be telling our politicians something. If our government REALLY cared about health care and its costs, they would convene a study to look at what is working for the people in other nations, and begin to phase in many of the other nations policies. Over a period of 5 or 10 years, our system could equal those in other nations, and we would All be far better off. As it stands now. millions of our people cannot afford to get the health care they need, and that number is growing every year. The ONLY ones who are reaping the benefits of health care here, are the corporations, and our Health Care Industry. At least they are finally telling us the truth....we used to have a Medical Profession...but now it is called the Health Care Industry, and the Primary objective of Any Industry is to Make Money.

However, we cannot place All of the blame on this Industry. Our own people are NOT taking steps to insure their own good health. The CDC statistics show that at least 30% of our costs are related to Obesity. When you add in things like smoking and alcoholism, half our costs could be prevented if people took some responsibility for their own well being.

Allergy is something not caused by any of the above. I blame our politicians for not agreeing on a method of regulation. I blame the system for allowing the lobbyists to have so much influence over our country. I blame the system for allowing huge campaign contributions by large corporations influence our lawmakers and candidates. Place blame where it belongs. We don't deserve to have to pay $600 for a product costing a dollar to make, that is ludicrous.
 
I blame the Citizen's United Ruling. The most detrimental assault on our democracy the Supreme Court has ever ruled. Unfortunately, to overturn it, we need a Constitutional amendment, initiated by Congress. Does anyone see that happening so long as everyone has their hands in the lobbyists pockets.. and their re-election depends on campaign contributions? Fat chance.
 
People in other countries with reasonable HC systems smoke, drink and are fat too..

That's right....BUT the U.S. has the largest population of Obese in the world. It seems that everywhere I go, I see gobs of people waddling around like a beached Walrus...they load their grocery carts with snacks, beer and soda pop, and then wonder why they are taking 6 drugs a day, and filling their calendar with doctor visits. We have the Dumbest health care system in the world, IMO, AND we have millions of people who are destroying their health, and costing us 10's of billions per year, needlessly. This chart may give you some insight.....

http://www.nationmaster.com/country-info/stats/Health/Obesity
 
That's right....BUT the U.S. has the largest population of Obese in the world. It seems that everywhere I go, I see gobs of people waddling around like a beached Walrus...they load their grocery carts with snacks, beer and soda pop, and then wonder why they are taking 6 drugs a day, and filling their calendar with doctor visits. We have the Dumbest health care system in the world, IMO, AND we have millions of people who are destroying their health, and costing us 10's of billions per year, needlessly. This chart may give you some insight.....

http://www.nationmaster.com/country-info/stats/Health/Obesity

Nevertheless, this does NOT justify gouging and price fixing by pharmaceutical companies.

According to news I heard yesterday, there's a generic available, but the FDA has blocked its release to the market. I'd like to know the true scoop on that, and why it has been blocked, if it's true.

Now that we've just had one big drug company, Pfizer, I think it is, buying out another, I think we can expect prices of their drugs to go up, too.
 


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