Do first-in-class cancer drugs receive a pricing premium?

According to a paper by Miljković et al. (2023), the answer is ‘no‘. The authors examine oncology treatments with FDA approvals between 2015 and 2020 and identify average wholesale prices from Redbook. Drugs were classified into three categories: (i) first approval of a new mechanism of action compound, (ii) next-in-class approval regardless the tumor type,…

The cancer tax

An ambitious paper by Chen et al. (2023) published last week aim to estimate the economic burden of cancer across 204 countries between 2020 and 2050 . The authors find that cancer’s economic burden is equivalent to an annual tax of 0.55% of global GDP. The full results are below. The estimated global economic cost…

Single Arm Trials for FDA Drug Approvals in Oncology

These are becoming increasingly common. Agrawal et al. (2022) use data between 2002-2021, and found that FDA approved: …176 new malignant hematology and oncology indications based on single-arm trials, including 116 accelerated approvals (AAs) and 60 traditional approvals. Overall, 87 approvals (49%) were for new molecular entities or original biologics and 89 (51%) were supplemental…

Enhancing Oncology Model: Payment Methodology

Back in July, I provided an overview of the Enhancing Oncology Model (EOM). Today I build upon that post focusing largely on CMS’s EOM’s Payment Methodology. I use a Q&A format as well. What is the goal of EOM? According to CMS “EOM is a CMMI alternative payment model designed to advance health equity, promote…

COVID-19 and Reductions in Cancer Mortality

That is the topic of a commentary I wrote with co-authors Joanna MacEwan and Farzad Ali, titled “Does COVID-19 Threaten the Progress Pharmaceuticals Have Made in Reducing Cancer Mortality Over the Last 20 Years?” An excerpt is below: Cancer mortality rates have fallen significantly over the last 20 years. Between 2000 and 2010, overall age-adjusted…