Most recently, a study published last month in the American Journal of Managed Care found that improved adherence to medication following the expansion of the Medicare Part D prescription drug program led to savings of nearly $2.6 billion in annual medical spending among beneficiaries with CHF. The study also found that further improving adherence to medicines could save Medicare another $1.9 billion annually, leading to $22.4 billion over 10 years.5
Add this all up and the conclusions are eye-opening: medical progress against cardiovascular disease and other chronic conditions is improving patients' lives and helping to control health care costs. Best yet, the new medicines in the pipeline have the potential to continue this remarkable public health story.
But here's the catch: to fully realize the benefits of medical innovation, we must have long-term, interdependent and integrated policies that nurture the innovative process – including a system that properly values medicines.
This value proposition is critical – and I believe it's a potential game-changer. The dynamic evidence that innovative medicines – such as those targeting heart disease – result in better health outcomes while reducing costs is increasingly compelling.
Our task going forward is to help policymakers, thought leaders, patients and other stakeholders recognize the importance of policies that properly value medicines. We welcome the challenge.
1. Pharmaceutical Research and Manufacturers of America, 2013 Medicines in Development for Heart Disease and Stroke Report. Available from http://phrma.org/research/heart-disease-stroke
2. Centers for Disease Control and Prevention, National Center for Health Statistics Data. Available at http://www.cdc.gov/nchs/data/dvs/lead1900_98.pdf
3. Go AS, Mozaffarian D, Roger VL, Benjamin EJ, Berry JD, Borden WB, Bravata DM, Dai S, Ford ES, Fox CS, Franco S, Fullerton HJ, Gillespie C, Hailpern SM, Heit JA, Howard VJ, Huffman MD, Kissela BM, Kittner SJ, Lackland DT, Lichtman JH, Lisabeth LD, Magid D, Marcus GM, Marelli A, Matchar DB, McGuire DK, Mohler ER, Moy CS, Mussolino ME, Nichol G, Paynter NP, Schreiner PJ, Sorlie PD, Stein J, Turan TN, Virani SS, Wong ND, Woo D, Turner MB; on behalf of the American Heart Association Statistics Committee and Stroke Statistics Subcommittee. Heart disease and stroke statistics—2013 update: a report from the American Heart Association. Circulation. 2013; 127:e6-e245.
4. Nichols M, Townsend N, Luengo-Fernandez R, Leal J, Gray A, Scarborough P, Rayner M (2012). European Cardiovascular Disease Statistics 2012. European Heart Network, Brussels, European Society of Cardiology, Sophia Antipolis
5. Timothy M. Dall, MS; Tericke D. Blanchard, MBA; Paul D. Gallo, BS; and April P. Semilla, MS, "The Economic Impact of Medicare Part D on Congestive Heart Failure," American Journal of Managed Care 2013;19: S97-S100
About the author:
John Castellani is the President &, Chief Executive Officer of the Pharmaceutical Research and Manufacturers of America (PhRMA), position he has held since August 2010.
Before joining PhRMA, Castellani was President and Chief Executive Officer of the Business Roundtable (BRT), an association of Chief Executive Officers from leading U.S. corporations and cited by the Financial Times as "the most influential chief executive lobbying group in the U.S.". Prior to the BRT, Castellani was Executive Vice President of Tenneco Inc. and part of the senior management team that led the transformation of the ailing conglomerate into seven strong companies. He started his career at General Electric as an environmental scientist and strategic planner.
Castellani is frequently sought by the news media for his expert insights on business and was named one of the 100 most influential people in corporate governance by Directorship Magazine in 2007. A graduate of Union College in Schenectady, N.Y., Castellani now serves on its board of trustees. He is also an Ethics Resource Center Executive fellow and a member of the Advisory Council of the Business Roundtable Institute for Corporate Ethics, in addition to being a member of The Economic Club of Washington.
PhRMA represents America's leading innovative biopharmaceutical research and biotechnology companies, which are devoted to discovering and developing medicines that enable patients to live longer, healthier, and more productive lives. Since 2000, PhRMA member companies have invested approximately $550 billion in the search for new treatments and cures, including an estimated $48.5 billion in 2012 alone.
For more information about PhRMA, visit www.phrma.org.
How can we nurture a system that properly values medicine?