For the study, researchers at IMS Health and drugmaker Celgene analyzed a database of audited biopharmaceutical sales to measure U.S. annual spending on orphan drugs from 2007 to 2013. They analyzed 356 orphan drugs approved under the 1983 Orphan Drug Act.
They found orphan drug spending totaled $15 billion in 2007 and $30 billion in 2013 —representing 4.8 percent and 8.9 percent of total pharmaceutical expenditures, respectively.
Researchers also did a future trend analysis for 2014 to 2018, which suggests a slowing in the growth of orphan drug expenditures.
“The overall impact of orphan drugs on payers’ drug budgets is relatively small, and spending on orphan drugs as a percentage of total pharmaceutical expenditures has remained fairly stable,” they said.
More articles on healthcare finance:
Should providers become payers? 4 key considerations
Calif. denies Saint Agnes Medical Center’s request to lower charity care minimum
AHA urges CMS to delay site-neutral payment policy
Becker’s 3rd Annual Fall Chief Pharmacy Officer Summit is the top tier event that the people leading the future of pharmacy convene. This 3-day event is built specifically for Chief Pharmacy Officers and senior pharmacy leaders. The sessions examine the workforce, financial and clinical priorities shaping pharmacy today. Becker’s is where candid discussions flourish and new ideas thrive. Becker's 3rd Annual Fall Chief Pharmacy Officer Summit