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Efficacy Advantages and Long-Term Cost Savings Will Help Optimize Reimbursement in the EU5 for Type 2 Diabetes Agents
Date:8/26/2013

BURLINGTON, Mass., Aug. 26, 2013 /PRNewswire/ -- Decision Resources, one of the world's leading research and advisory firms for pharmaceutical and healthcare issues, finds that as the health technology assessment bar rises sharply across the EU5 (France, Germany, Italy, Spain and the United Kingdom), interviewed payers seek robust efficacy advantages over the right comparators and clear demonstration of potential for downstream cost savings in exchange for optimal reimbursement of type 2 diabetes therapies. As type 2 diabetes becomes increasingly prevalent in Western markets, the cost of related complications and comorbidities weighs heavily on tightening EU5 healthcare budgets. Payers report that novel agents that delay disease progression and show positive weight loss and cardiovascular outcomes data, ideally with detailed pharmacoeconomic analyses, will secure favorable market access conditions long term.

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The new European Physician and Payer Forum report entitled Market Access Challenges Facing Newly Launched and Emerging Type 2 Diabetes Agents in the EU5: Physician Prescribing Perspectives and Payer Insights finds that at least three-quarters of surveyed EU5 endocrinologists, diabetologists and general practitioners (GPs) believe that, despite market crowding, unmet need remains for the DPP-IV inhibitor drug class, while at least two-thirds think likewise for the GLP-1 receptor agonists. Key unmet needs highlighted for the DPP-IV inhibitors include better reduction in HbA1c, and confirmation of disease-modifying effect, while—in addition to injection-free administration—positive cardiovascular outcomes data emerges as a primary preference for the GLP-1 analogues. Agents targeting these unmet needs should also help to address payer demands for downstream cost-savings, thus encouraging budget holders at all levels to think beyond the price tag as competition heightens among type 2 diabetes drug classes.    

However, the report also finds that as manufacturers strive for optimal pricing and reimbursement terms amid stringent HTA demands, they must be careful not to price themselves out of the market if they want to secure maximum uptake of their brands. Price must be carefully balanced with uptake potential for optimal return on investment.

"One quarter of surveyed GPs in Germany do not currently prescribe GLP-1 analogues to more than half of their eligible type 2 diabetes patients due to the constraints of their indicative prescribing budgets, while around two thirds of survey respondents in Spain report that their ability to prescribe DPP-IV inhibitors and GLP-1 analogues is at least somewhat impacted by recently increased patient copay," said Decision Resources Senior Director Janie Cox, Ph.D. "As the EU5 countries continue to feel the force of the economic crisis, industry is challenged with maximizing profitability at competitive rather than premium prices."

About Decision Resources

Decision Resources (www.decisionresources.com) is a world leader in market research publications, advisory services and consulting designed to help clients shape strategy, allocate resources and master their chosen markets. Decision Resources is a Decision Resources Group company.

About Decision Resources Group

Decision Resources Group is a cohesive portfolio of companies that offers best-in-class, high-value information and insights on important sectors of the healthcare industry. Clients rely on this analysis and data to make informed decisions. Please visit Decision Resources Group at www.DecisionResourcesGroup.com.

All company, brand, or product names contained in this document may be trademarks or registered trademarks of their respective holders.


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