Anthem refuses to cover first FDA approved muscular dystrophy drug Sarepta

Indianapolis-based payer Anthem said it will not cover Sarepta Therapeutics’ recently approved Duchenne muscular dystrophy drug, Reuters reports.

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Sarepta gained U.S. Food and Drug Administration approval for the drug eteplirsen in September after a months-long review process that sparked a heated internal debate.

However, Anthem called the drug “investigational and not medically necessary,” and said it “failed to show it improves health outcomes, and therefore it is not a covered benefit for our members,” Reuters reports.

Per patient per year, the drug costs about $300,000. Minnetonka, Minn.-based insurer UnitedHealthcare said it will cover the drug. Hartford, Conn.-based Aetna said it will determine policy coverage following a full clinical review, according to the report. 

Sarepta’s stock fell 7 percent Friday following Anthem’s rejection.   

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