Bristol Myers Squibb and Pfizer On Thursday, they said they would start selling the blockbuster blood thin elixir directly to patients at a discount of over 40%.
The move comes as the Trump administration puts pressure on the pharmaceutical industry to cut drug prices and threatens to charge cleaning fees on drugs imported into the US.
The new initiative by the company will bypass traditional brokers, including pharmacy benefits managers and insurance companies, reducing the monthly cost of the drug from around $606 to $346. Starting September 8th, uninsured, uninsured, and self-paid patients can purchase medications directly from the ELIQUIS 360 Support Program, and prescriptions will be shipped directly to your home.
However, the Eliquis discounted prices are more than nine times the average monthly out-of-pocket cost 38 paid by commercially insured patients. Prices under the new program are significantly higher than the $231 a month price negotiated by Medicare under the Biden administration’s Inflation Reduction Act provisions. That negotiated price is set to be effective next year.
The negotiated price is what Medicare pays to Elixis and does not set a Medicare patient’s current or future payments for medication, Bristol-Myers Squibb and Pfizer said in a joint statement. They added that the prices negotiated do not reflect “the substantial clinical and economic value of this essential drug.”
Over 90% of US Eliquis prescriptions are currently covered by insurance. However, Bristol Myers Squibb and Pfizer said the new initiative aims to expand access to treatment, reduce out-of-patient costs for patients, and provide transparent pricing for different patient groups.
“The program is continuously focused on identifying innovative solutions that will drive the best outcomes for each individual while passing more savings directly to patients and prioritizing access to care,” said Chris Bohner, CEO of Bristol-Myers Squibb.
In a memo on Thursday, Leerink Partners analyst David Risinger said he believes the move has occurred in response to Trump’s plan to lower US drug costs by linking prices to countries paid in other developed countries. The president signed an executive order for the plan in May.
Risinger said the company doesn’t expect the program to create a “net price headwind” for Bristol-Myers Squibb and Pfizer, as drugmakers have already provided large rebates to pharmacy profit managers.
