Posted on 09/02/2016 1:51:37 PM PDT by wtd
Updated Sept. 1: Mylan announced on Aug. 29 that it will launch a generic version of its EpiPen at half the cost of the patented original. It plans to introduce a generic two-pack of auto-injectors for $300, compared to the list price of $609 on the branded auto-injector set.
Facing relentless pressure from politicians, the media and social media over steep increases on EpiPens, this was the second move Mylan has made on auto-injector pricing in less than a week.
Given that the EpiPen brand still has patent protection, the generic announcement is an unusual action for a pharmaceutical company to take. Mylan says the device and drug formulation will be identical to its branded product, and that it plans “to launch the product in several weeks, pending completion of labeling revisions.”
The company confirmed that this is an “authorized generic,” and will not require new authorization through the FDA. In reply to Allergic Living questions, its spokesperson also said: “Mylan intends to distribute the authorized generic as it would any other generic medicine working with all parts of the generic drug value chain. The product will be available in pharmacies, just as any other generic would be.”
On Aug. 25, the company tripled the value of an EpiPen “savings card” to $300 to assist consumers facing sticker shock at the pharmacy counter due to the high list price, coupled with either high insurance deductibles or increased drug plan co-pays.
Several politicians had said the Aug. 25 announcement on the enhanced savings card was not enough, given that the EpiPen two-packs have risen markedly since 2007, when a pair cost about $100 compared to the current list price of $609. Sen. Richard Blumenthal (D-Conn) said: “This baby step should be followed by actual robust action.”
Investment analysts at Sanford C. Berstein in New York called Mylan’s introduction a lower-cost generic auto-injector “a smart and real move.” In a note to clients, the analysts said they suspect the average revenue per prescription will also fall by about 25 percent.
Company CEO Heather Bresch has indicated that she cannot control the list price set by insurers through pharmacy benefit managers, and in the generic announcement again alluded to issues with the drug pricing system. “Because of the complexity and opaqueness of today’s branded pharmaceutical supply chain and the increased shifting of costs to patients as a result of high deductible health plans, we determined that bypassing the brand system in this case and offering an additional alternative was the best option,” she said.
Shifting to a lower cost generic also offers relief from growing costs of EpiPens to insurers and government-funded programs such as Medicaid and Medicare. Mylan has faced mounting criticism over price increases being passed on to taxpayers.
Some analysts also suggest the generic auto-injector also serves as a preemptive move, since politicians are urging the FDA to fast-track auto-injector competition, such as the Teva generic epinephrine device that’s in the works. As well, Kaleo has also indicated it still plans to return the Auvi-Q to the market. The Auvi-Q was voluntarily recalled in the fall of 2015, but remains approved.
When it is a Government-protected monopoly obtained through corrupt political connections, - yes, the very existence of the company is evil.
The EpiPen has about $7 per unit of direct manufacturing costs. In a truly free-market economy there would be several companies making them and the retail cost per unit would probably be $40-$60.
And BTW, the device was developed by a different company under a US-Military-funded program. What we have here is socialized costs and privatized profits.
Evil.
Given that the company can make a profit if they sold a two EpiPen package for $14.95, the company selling them for $600 or even $300 is making an obscene profit.
This is not new technology, it is pure greed and corruption in my opinion.
That information needed to be noted in the original post. If that is the case, then this is worse than evil.
They are issuing the generic to prevent competition from another company.
I read about a doctor that has his own kit that anyone can make....
get the generic stuff in a bottle, buy a syringe and a very small needle and it all fits into an altoids tin...
instead of the autopen you have to draw the correct amount into the syringe and inject it yourself...
cost, including the altoids, is around 20.00 per shot..
$600 to $300 is still a major profit. Major profit.
OMG! Profits!!!
How evil of a company to attempt to make a “profit.”
These companies should be punished for being greedy.
It’s just downright un-American for a company to make a profit in these socialistic times.
The Epi Pen should be free to everyone who needs it. “”
Good points. Second point is, no one is forcing users to buy them. Did someone, like the IRS hold a gun to your head and force users to buy these?
Not good points.
This is life-saving device for which there is no good substitute. It is also ridiculously cheap to make and was developed from Government funded programs.
In a real free-market capitalistic system, this device would be widely available from different makers and would be inexpensive. There is after all a big demand for them and they are easy to make.
We do not have a free-market system today.
The EpiPen is sold at predatory pricing (literally "your money or your life") to vulnerable patients because of corrupt deals between A Democrat Congress thief and the MyLan CEO. In fact they are relatives.
Of course those patients have a "choice". They can pay what the monopoly supplier demands - or they can die.
Other choices should be considered.
The Epi-Pen is about the delivery system, not the med. No one likes to inject themselves or a loved one, but diabetics do it all the time. The key is in patient education.
Epi-Pen or death is a false choice.
BINGO!!!!
It is exactly the choice. That is why a 500% price increase after Mylan bought the "rights" to the Epi-Pen is so controversial.
Mylan has it's pricing ability because of monopoly and regulatory barriers created by Congress and corrupt interpretations of patent laws and FDA regulations. And the CEO is related to a current Democrat member of Congress. How convenient.
The original owner of the patents did not have the connections in Congress or the FDA to inflict such an atrocity.
Repeal the "Drug Re-Importation Laws" and the Epi-Pen (or equivalent devices) will be selling for $40-$60 per unit.
Like they used to.
The choice is epinephrine or death from analphylaxis. An epi-pen is but one way to administer epinephrine. It is not the only way.
Can’t afford an epi-pen? Don’t want to die? Then learn how to do it the old fashioned way, which also the best way for patients ( aka Healthcare Consumers) to answer Mylan.
If they are so easy to make, then make your own. Injectable Epi has been on the market for 60 years. Preposterous that you need an Epi-pen. My brother carried Epi 50 years ago.
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