Johnson & Johnson CEO Alex Gorsky called for modifications inside way prescription drugs are paid for although stopped short of saying pharmaceutical companies need to lower the prices they charge.
President Donald Trump has forcefully pressed pharmaceutical companies to reduce prescription drug costs in recent weeks. Pfizer last week delayed drug cost increases after Trump said on Twitter of which the drugmaker “should be ashamed” of itself. The spat flung pharmaceutical companies back into the spotlight.
Pressure has been mounting on drugmakers to cut prices for lifesaving medicines since “Pharma Bro” Martin Shkreli sparked public outrage for in 2015 raising the cost of a little-known although important drug used to treat an HIV-related infection by $13.50 to $750 per pill. Mylan then made the issue a focal point of the 2016 federal elections after of which raised the cost of its lifesaving EpiPen 500 percent since 2007.
More quietly, some patients are facing higher costs for everyday drugs like insulin as well as for costly, complex biologic drugs.
Gorsky addressed the issue on a call with analysts Tuesday after the Discharge of J&J’s second-quarter results. He said the company knows “people are facing higher out-of-pocket costs when they seek medical care by a hospital, a doctor’s office or some various other alternative health-care provider, in addition to also especially when they go to the pharmacy to get medications.”
Drugs, however, represent a fraction of the country’s health-care costs, Gorsky said. Plus, he said, they address health issues in addition to also reduce morbidity rates.
“We also believe modifications are needed regarding how we cover in addition to also pay for medical care in addition to also drug treatment therapies inside U.S,” Gorsky said. “We are working with various partners inside health-care system to transform the way health care is actually paid for so everyone involved is actually held accountable in addition to also rewarded for the value they deliver.”
The White House released a blueprint of its plan to lower drug prices in May. While light on specifics, the plan seeks to improve competition, improve negotiation, in addition to also create incentives to lower list prices of prescription drugs in addition to also out-of-pocket costs for consumers.
“of which’s too early to predict the impact of any potential completely new federal regulations, although of which’s an important issue. We recognize of which, in addition to also we want to help lead the solutions,” Gorsky said. “We know of which of which’s our responsibility in addition to also we will continue to unite around efforts of which address some of the most critical health in addition to also consumer needs of people around the earth.”