Biologics — drugs derived from living organisms that are used to treat conditions such as rheumatoid arthritis, multiple sclerosis, and some cancers — are the fastest growing component of prescription drug spending.
While some of these drugs have fostered significant advancements in medicine, some biologics cost hundreds of thousands of dollars per year, imposing crippling costs on patients, the health care system, and the government.
Furthermore, generic competition with brand-name biologics is severely lacking in the United States, despite the existence of an abbreviated pathway for follow-on drugs, known as biosimilars.
• Provides background on biologic drugs
• Explains how biosimilar products could bend the cost-curve
• Discusses the barriers to achieving cost reductions
• Highlights key trends to watch