Trump’s drug pricing plan pushes for increased price transparency, greater use of generics  | FierceHealthcare

Price transparency an immediate focus
The Department of Health and Human Services has more than 50 actions in the works to address the drug pricing issue, said Secretary Alex Azar. For example, Azar said he has directed the FDA to investigate ways to improve price transparency around drugs, including listing the prices of brand-name medications in advertising.

“Think about all the time everybody spends watching drug company ads, and how much information companies are required to put in them,” Azar said. “If we want to have a real market for drugs, why not have them disclose their prices in the ads, too?”

“Consumers would have much more balanced information, and companies would have a very different set of incentives for setting their prices,” Azar added.

Landmon said that greater price transparency is a preferable outcome for drugmakers than other ideas that have been floated by Trump himself, such as price controls or allowing Medicaid to negotiate directly with drug companies.

“There are so many different things that impact the prices that payers ultimately pay,” Landmon said. “It will be interesting to see, if we do get there, how you actually have to report that in advertising.”

Read complete article here:

Trump’s drug pricing plan pushes for increased price transparency, greater use of generics  | FierceHealthcare.