By Jorge Garcia, PharmD, MS, MHA, MBA, FACHE
Biologics are a type of medicine derived from living systems, like bacteria and yeast. These powerful medications are manufactured through highly involved biotechnology processes, producing medications that treat such diseases as rheumatoid arthritis, ulcerative colitis, and Crohn’s disease, among many others. The number of biologic therapies continues to increase, and so does the number of patients using them.
The cost of biologics has reached an all-time high. The cost of oncology drugs specifically is growing at twice the rate of the general health care cost. The median monthly cost of new U.S. cancer drugs surpassed the median monthly household income in 2000. By 2014, this cost more than doubled the median monthly household income.
There are various solutions to solving this high-cost problem for Floridians, and one of them carries a similar name but very different pricing. They are called biosimilars, and they represent an innovative opportunity to increase access and expand use of these critical treatments for Florida’s patients while reducing cost.
I’m a pharmacist in South Florida, and I lead national advocacy efforts to promote the evaluation and the safe and effective use of biosimilars. Biosimilars can generate cost savings by providing more affordable options and creating competition that prevents increasing costs. This could be particularly important when it comes to oncology.
We are currently seeing real growth in the market share of biosimilars. If they reach a 75% share, Florida can expect to see nearly $1 billion in savings each year, according to the Pacific Research Institute.
The health care system has already seen the far-reaching benefits of competition in the pharmaceutical marketplace through generic drugs, small molecule drugs synthesized in the lab to provide a lower cost alternative to the brand products.
Utilization of generic drugs have proven to be one of the most meaningful and effective interventions to help mitigate cost of care in the U.S. Today, generics account for 90% of prescriptions in the country, at only 20% of the cost.
Much like generic medications, biosimilars can boost needed competition in the marketplace, thereby driving down costs and increasing access to critical treatment options.
Health care professionals who work in oncology often experience the financial toxicity that cancer patients can face. The biosimilar value proposition is that they can deliver the same high-quality products at a fraction of the cost.
While biosimilars can be developed at lower cost and expedited fashion compared to their counterpart products, biosimilars are deemed by the FDA as safe and effective treatment options. In addition, with more than 6 years of post-marketing pharmacovigilance, each day in the marketplace biosimilars provide additional confidence regarding their safety and efficacy profiles. No biosimilar product has ever been removed from the marketplace in the U.S. due to a safety or efficacy concern.
Biosimilars face many challenges and barriers to marketplace entry. To name just a few examples, there is a great deal of room for patent litigation prolonging biosimilar launch and there is no guaranteed payer coverage or market share for manufacturing companies.
Health care professionals are uniquely positioned to promote the evaluation of the growing body of evidence and enable biosimilar utilization where there is evidence to support the use.
Dr. Jorge Garcia is the Assistant Vice President of System Oncology Pharmacy Services at Baptist Health South Florida. He also serves as the Pharmacy Liaison and Board Member for the Florida Society for Clinical Oncology. To learn more, view Dr. Garcia’s presentation on Biosimilars: What’s New and What’s Next? at https://youtu.be/h5kfjp7KNqs