Impact of Big Pharma’s Insulin Pricing Policies on Insulin Costs in California
The High Cost of Insulin
Insulin is a life-saving medication for people with diabetes. However, the cost of insulin has been increasing rapidly, making it unaffordable for many people. In California, the average price of insulin has increased by over 600% in the past two decades, leaving many people with diabetes struggling to afford the medication they need to stay alive.
California’s Plan for Cheaper Insulin
To address the high cost of insulin, California lawmakers passed a bill in 2019 that would cap the price of insulin at $100 per month for people with commercial insurance. The bill also requires insulin manufacturers to provide a 90-day supply of insulin at no more than $100 to uninsured and low-income patients.
This plan was meant to provide relief to people struggling to afford insulin. However, it has collided with efforts by big pharma to lower the price of insulin.
Big Pharma’s Price Cuts
In recent months, several pharmaceutical companies have announced price cuts for insulin. In March 2020, Eli Lilly announced that it would introduce a half-priced version of its insulin drug Humalog, called Insulin Lispro. Sanofi also announced that it would cut the price of its insulin drug Lantus by half.
While these price cuts are certainly welcome news for people with diabetes, they have also put California’s plan for cheaper insulin in jeopardy. The $100 per month cap on insulin prices in California only applies to commercial insurance plans, not to Medicare or Medicaid, which cover a large number of people with diabetes.
Additionally, the price cuts announced by pharmaceutical companies only apply to the newer versions of insulin, not to the older versions, which are still more affordable.
The Future of Insulin Prices
The high cost of insulin has been a major issue for people with diabetes for far too long. While California’s plan for cheaper insulin was a step in the right direction, it has been undermined by the efforts of big pharma to lower the price of insulin.
In the future, it is important for lawmakers and pharmaceutical companies to work together to make insulin more affordable for everyone who needs it. This may mean expanding California’s plan to include Medicare and Medicaid patients, as well as making older versions of insulin more affordable.
Until then, people with diabetes will continue to struggle to afford the medication they need to stay alive, while big pharma reaps the profits from the sky-high prices of insulin.