U.S. lawmakers blast Mylan’s move to curb EpiPen costs
Mylan NV’s move to alleviate patients’ cost burden for its US$ 600 EpiPen emergency allergy shots was blasted by members of Congress who called it a publicrelations manoeuvre.
In response to intense criticism over the past few days, Mylan acted Thursday to expand assistance programs that help patients with high out- of- pocket expenses — but didn’t go as far as cutting the treatment’s list price. Health insurers and U. S. lawmakers, along with Democratic presidential candidate Hillary Clinton, criticized the effort as an attempt to cover a 400- percent price hike that won’t make the drug more afford- able. Mylan has been under fire for increasing the price to about US$ 600 for a two-pack from US$57 for a single pen in 2007.
Republican Senator Chuck Grassley of Iowa joined Democratic lawmakers, including Connecticut Senator Richard Blumenthal, in saying Mylan’s moves aren’t enough.
“This step seems like a PR fix more than a real remedy, masking an exorbitant and callous price hike. This baby step should be followed by actual robust action,” Blumenthal said in a statement. “The only fair and effective relief is a substantial price reduction for everyone who needs access to this lifesaving drug, not just a special break for people who are in particular health plans and have the extra hours in their work day to navigate a bureaucratic labyrinth of discounts.”
Chief e xecutive Heather Bresch, the daughter of Democratic Senator Joe Manchin of West Virginia, was quick to react to the mounting political scrutiny, days after lawmakers started to express outrage over EpiPen’s price and called for investigations. Criticism including from Clinton, who called the price increases outrageous on Wednesday, had sent the shares down 11 per cent in just three days. While the stock pared some of the losses early Thursday, it closed down 0.7 per cent US$42.85 in New York.
Manchin said in a statement that he’s concerned about the high cost of prescription drugs and will review Mylan’s response. He also said he expects Mylan to have a “more comprehensive and formal response” in the future.
America’s Health Insurance Plans, the Washington lobby group for insurers, said Mylan’s move is “a recycled approach.” Other drugmakers that have come under fire for raising drug prices, including Valeant Pharmaceuticals International Inc. and Turing Pharmaceuticals AG, Martin Shkreli’s former firm, have also pointed to coupons and patient assistance programs they offer in response to criticism.
Mylan will expand existing programs to help people with high out- of- pocket expenses, according to a statement Thursday. By using a savings card, patients will get as much as US$ 300 toward their EpiPen 2- Pak, which should effectively reduce costs by 50 per cent for those previously paying the list price. The drugmaker is also doubling eligibility for its patient assistance program so a family of four that makes up to US$97,200 would not have to pay for the EpiPen.
Mylan has given away more than 700,000 free EpiPens to schools since 2012 under a program that allows them to receive four free auto- injectors, the company said. Schools have to use their own funds to purchase additional pens.