Politico reported that “Recent polls have found that high drug costs are the No. 1 health care priority of Americans, eclipsing Obamacare even among Republicans and independents.” A tracking poll by the Kaiser Family Foundation found that nearly two thirds of Americans supported “government action to lower prescription drug price.” A majority of Republicans, 56%, supported this step as well.
Both presidential candidates are responding to this public pressure with platforms that will significantly affect the pharmaceutical industry no matter who is elected.
Hillary Clinton states on her campaign website that she will:
- 1. Increase price transparency and capping
2. Reduce federal subsidies for advertising
3. Medicare-driven bargaining
4. Mandatory rebates to consumers
5. Reduce the biologic exclusivity period
6. Loosen import restrictions on foreign and generic drugs
Donald Trump states on his campaign website that he will:
- 1. Require greater Price transparency
2. Leverage Medicare to negotiate down drug prices
3. Reduce import restrictions on foreign and generic drugs
4. Repeal of the Affordable Care Act (ACA) which would eliminate drug rebate requirements and pricing regulations but would descrease total market size
Clearly the pharmaceutical industry will take a hit no matter who wins the 2016 election. Novartis CEO, Joe Jimenez, says, “We believe that, no matter which candidate wins, we will see a more difficult pricing environment in the U.S. We all have to plan for new pricing models in the U.S. that could help us ensure the sustainability of the system as the population ages.”
What does this mean for Commercial Analytic’s function within the industry?
Increased demand, increased opportunities and increased exposure of your work to C-level management. Want to know more? Contact Eda Zullo, Practice Lead for Commercial Analytics, at Executive Recruiter Smith Hanley Associates, 203.319-4309 or firstname.lastname@example.org.