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Interviewed Payers in the EU5 Anticipate Increasing Prescribing Constraints for Premium-Priced Type 2 Diabetes Agents

BURLINGTON, Mass., Sept. 15, 2014 /PRNewswire/ -- Decision Resources Group finds that as the type 2 diabetes treatment armamentarium continues to expand, increasing pressure to control expenditures will result in mounting prescribing constraints for premium-priced agents. Interviewed payers emphasize that although type 2 diabetes drugs will generally be reimbursable at the national level, regional formularies are likely to enforce additional restrictions on expensive agents. Surveyed physicians in most EU5 countries (France, Germany, Italy, Spain and the United Kingdom) agree that patient access to premium-priced type 2 diabetes therapies is at least somewhat restricted by regional or hospital formulary variation, and most physicians expect this situation to deteriorate by the end of 2016.

Other key findings from the European Physician & Payer Forum report entitled The Dynamic Type 2 Diabetes Landscape: Market Access Levers and Barriers amid Increasing Austerity in the EU5:

  • Pricing and reimbursement conditions: Payers emphasize that demonstration of benefit in specific subgroups as well as the potential for downstream cost savings will be key to optimizing pricing and reimbursement conditions.
  • Enforced prescribing: Surveyed physicians identify promotion of generic agents as the most common strategy for managing drug costs and, like payers, anticipate that use of biosimilar insulin will be encouraged when it becomes available.
  • Future uptake of branded type 2 diabetes therapies: Despite mounting pressure to control expenditures, physicians report increasing use of the DPP-IV inhibitor and GLP-1 receptor agonist classes over the last 12 months, and anticipate robust uptake of the relatively new SGLT-2 inhibitor class as well as the novel GLP-1 receptor agonist/insulin analogue fixed-dose combinations over the next two years.

Comments from Decision Resources Group Analyst Dr. Eamonn O'Connor, Ph.D.:

  • "Accepting prescribing restrictions may expedite market entry, and the pricing and reimbursement negotiations for AstraZeneca's Forxiga in Spain is a good example of this. Spanish payers report that negotiation of an inspection visa for Forxiga helped accelerate this agent's market entry in Spain, where national negotiations are typically lengthy relative to other European markets."
  • "Proven benefit in specific subgroups and clear demonstration of potential for downstream cost savings will encourage payers to see beyond the price tag. In particular, payers are looking for novel agents that delay disease progression and demonstrate weight-loss efficacy and positive cardiovascular outcomes data."

About Decision Resources Group

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