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AHIP Statement For Senate Finance Committee Hearing On Prescription Drug Issues

posted by AHIP

on June 26, 2018

On June 26, 2018, the Senate Finance Committee held a hearing on “Prescription Drug Affordability and Innovation: Addressing Challenges in Today’s Market.”

AHIP submitted a statement for the official record of this hearing. Our statement urges the committee to recognize that the pricing process for prescription drugs is driven entirely by the original list price of a branded drug—which is determined solely by the drug company, not by the market or any other participant in the pharmaceutical supply chain. We further emphasize: “Congress needs to address this reality—the problem is the price—as part of any strategy for reducing pharmaceutical costs for the American people.”

Our statement outlines our initial perspectives on the Trump Administration’s “Blueprint to Lower Drug Prices.” We also discuss the consequences that out-of-control prescription drug prices have on consumers, and how health plans work hard on behalf of all consumers to negotiate lower prescription drug costs.