In a study sponsored by Pfizer and presented on May 22, 2017, at the 22nd Annual International Meeting of The International Society for Pharmacoeconomics and Outcomes Research, researchers from Brazil found that switching from reference products to biosimilars can create substantial cost savings for payers in private healthcare systems.
The researchers developed a 5-year cost minimization analysis model to measure the impact of switching infliximab (Remicade) with its biosimilar in patients undergoing treatment for rheumatoid arthritis (RA) in the Brazilian private healthcare system. The analysis considered direct medicine costs (which are regulated by the Brazilian Ministry of Health) for the treatment of a cohort of 2 million patients, and drew upon data from the 10 largest private healthcare plans in Brazil.
The model employed a switch rate of 30% in year 1, which increased by 5% annually, to arrive at 50% in year 5. Using this schedule, and employing a population growth-rate adjustment of 0.09% after year 1, the researchers found that switching RA patients to the infliximab biosimilar generated a cost savings of 15.6 million to 26.2 million Brazilian reais (an amount equivalent to 4.81 million to 8.08 million US dollars). That savings represents up to a 20.8% reduction of overall acquisition costs. When considering a reduced 5-year switch rate of only 40%, savings on acquisition costs were still strong at up to 13.78%.
The researchers concluded that switching from reference products like infliximab to biosimilar products can provide payers with substantial cost-savings opportunities. Such savings, the researchers suggest, are not only positive news for payers seeking to reduce their expenditures, but also for patients; lower prices have the potential to spur greater patient access to biological agents, and may improve overall treatment availability.
Exploring the Biosimilar Horizon: Julie Reed's Predictions for 2024
February 18th 2024On this episode of Not So Different, Julie Reed, executive director of the Biosimilars Forum, returns to discuss her predictions for the biosimilar industry for 2024 and beyond as well as the impact that the Forum's 4 new members will have on the organization's mission.
AON Saves Over $243 Million With High Biosimilar Adoption
April 22nd 2024Thanks to high biosimilar adoption rates within the community oncology setting, American Oncology Network (AON) saved upwards of $243 million between 2020 and 2023, according to a presentation at the Festival of Biologics USA conference in San Diego, California.
Biosimilar Business Roundup for October 2023—Podcast Edition
November 5th 2023On this episode, we discuss the biggest news to come out of October 2023, including 3 regulatory approvals, 2 complete response letters, and new data and industry insights that have the potential to impact the entire US biosimilar industry.
Global Biosimilar Market Projected to Reach $1.3 Trillion by 2032
April 11th 2024The global biosimilar market is projected to surge from $25.1 billion in 2022 to approximately $1.3 trillion by 2032, with a compound annual growth rate of 17.6%, driven mainly by the increasing prevalence of cancer and the cost-effectiveness of biosimilars, as outlined in a report by Towards Healthcare.