ARE WE GOING TO BE SEEING LOWER
DRUG PRICES HERE IN THE UNITED
STATES OF AMERICA.
THIS IS SOMETHING THAT THE
PRESIDENT CAMPAIGNED ON
REPEATEDLY, HEALTH AND HUMAN
SERVICES SECRETARY ALEX AZAR
SAYING THAT SOMETHING THE
PRESIDENT ASKS HIM ABOUT DAILY.
HE STARTS AND ENDS THE
CONVERSATION HOW WE GET THESE
DRUG PRICES DOWN.
ONE OF THE THINGS WE HEARD THE
PRESIDENT BRING UP, FORMER
HEALTH AND HUMAN SERVICES
SECRETARY, MR. LEVITT, MICHAEL
LEAVITT EXPLAINED TO US AS WE
WENT INTO THAT SPEECH BY THE
PRESIDENT IS THAT EUROPEANS ARE
PAYING FAR LESS FOR THE EXACT
SAME DRUGS.
IF WE HAVE A HIGHLIGHT FROM THAT
SPEECH, HERE IS THE PRESIDENT
INDEED MAKING THAT POINT.
WE'LL HANG TIGHT ON THAT.
WHEN WE HAVE THAT WE'LL BRING IT
TO YOU.
EFFECTIVELY SAID YOU CAN GO OUT
TO BUY THE EXACT SAME PILL IN
EUROPE EXACT SAME THING AND IT
WILL COST AWE FEW DOLLARS WHERE
HERE IN THE UNITED STATES OF
AMERICA IT COSTS YOU A FEW
HUNDRED DOLLARS.
WHY IS THAT AND HOW DO WE FIX
THAT?
WHY SHOULD THE U.S. BE
SUBSIDIZING THE REST OF THE
WORLD.
JOINING ME WITH REACTION, FAMILY
AND EMERGENCY MEDICINE DOCTOR,
JENETTE AND HERITAGE FOUNDATION
SENIOR FELLOW.
GOOD TO SEE YOU BOTH.
HOW IS THAT?
WHY IS IT THAT?
IN SWITZERLAND AND WE'RE SHOWING
EVERYBODY THE NUMBERS, THEY ARE
PAYING FAR LESS FOR SOMETHING
THAN YOUR PATIENTS, DR. JENETTE,
ARE?
>> THAT IS A GREAT SPEECH, MUSIC
TO MY EARS WHAT THAT MEANS MY
PATIENTS WILL LIVE LONGER AND BE
ABLE TO AFFORD THEIR
MEDICATIONS.
ONE THING PRESIDENT TRUMP SAID
WE'RE GOING TO ELIMINATE THE
MIDDLEMAN.
THAT PROBABLY MEANS THE PBMs,
THE PHARMACY BENEFIT MANAGERS
ARE TAKING REBATE SAVINGS THOSE
IN OTHER COUNTRIES DON'T HAVE.
IN THE OTHER COUNTRIES THE
GOVERNMENT DIRECTLY NEGOTIATES
PRICES WITH THE PHARMACEUTICAL
PRICES WHICH IN OUR COUNTRY WE
CAN NOT DO THAT.
THAT IS ILLEGAL FOR THE FEDERAL
GOVERNMENT TO DIRECTLY
NEGOTIATE, MEDICAID DIRECTLY
NEGOTIATE PRICES WITH THE
PHARMACEUTICAL COMPANIES.
SO THAT DEFINITELY MAY PLAY A
ROLE.
IT IS UNFAIR.
I'M HAPPY TO SEE IT CHANGESES
OUR OWN WAY.
TRISH: IT IS ILLEGAL FOR US TO
NEGOTIATE WITH PHARMACY
COMPANIES, BECAUSE AS SECRETARY
LEAVITT SAID, CONCERNED ABOUT
THE FEDERAL GOVERNMENT FACING
WINNERS AND LOSERS?
>> EXACTLY.
I LOVE THE FACT THAT OUR
PRESIDENT TOUTED THE IDEA OF THE
FEDERAL GOVERNMENT DIRECTLY
NEGOTIATING WITH PHARMACEUTICAL
COMPANIES AND DIRECTLY
ELIMINATING THE PBMs.
WE HAVE THE MOST ADVANCED
TECHNOLOGY IN THE WORLD.
YET I HAVE PATIENTS HAVING TO
DECIDE SHOULD SHE SPEND THEIR
MONEY ON THEIR MEDICATION OR
FOOD?
THAT IS HEART-BREAKING TO ME.
IF YOU DON'T HAVE CANCER OR
DIABETES MEDICINE IT, CAN BE
LIFE-THREATENING.
THIS IS DETRIMENT AL TO IMPACT
OF MANY PATIENTS IN THE COUNTRY.
TRISH: IT IS WILD TO THINK THAT.
IN A COUNTRY WITH SO MANY
ADVANTAGES AND WONDERFUL
STANDARD OF LIVING THAT PEOPLE
ARE PUT IN THAT POSITION.
HERE IS THE PRESIDENT, ED.
I WANT YOUR REACTION WHAT HE
SAID.
LISTEN HERE.
>> WHEN FOREIGN GOVERNMENTS
EXTORT UNREASONABLY LOW PRICES
FROM U.S. DRUGMAKERS, AMERICANS
HAVE TO PAY MORE TO SUBSIDIZE
THE ENORMOUS COST OF RESEARCH
AND DEVELOPMENT.
IN SOME CASE, MEDICINE THAT
COSTS A FEW DOLLARS, IN A
FOREIGN COUNTRY, COSTS HUNDREDS
OF DOLLARS IN AMERICA, FOR THE
SAME PILL, WITH THE SAME
INGREDIENTS IN THE SAME PACKAGE,
MADE IN THE SAME PLANT.
THAT IS UNACCEPTABLE.
TRISH: ED, HOW DO WE CHANGE IT?
>> WELL I THINK IT IS
INTERESTING THAT THE PRESIDENT
IS TALKING ABOUT THIS AS TRADE
ISSUE.
IN SOME WAYS I REALLY STRIKES ME
AS EXACTLY RIGHT.
THIS IS SAM COMPLAINT ABOUT THE
EUROPEANS NOT CARRYING THEIR
FAIR SHARE OF NATO, FOR EXAMPLE.
WHAT IS GOING ON HERE.
WHAT IS INTERESTING HE USED THE
WORD EXTORT.
THAT IS WHAT IS HAPPENING.
A COUNTRY SAYS TO THE U.S.
DRUGMAKER, WE WON'T COVER YOUR
DRUG.
WE WON'T OUR CITIZENS HAVE
ACCESS TO YOUR MEDICINE UNLESS
YOU PROVIDE US WITH A MUCH LOWER
PRICE.
IF THAT WAS ANY OTHER PRODUCT, I
THINK WE WOULD CALL THAT A
UNFAIR TRADE PRACTICE.
THERE ARE VERY INTERESTING
THINGS GOING ON THERE.
TRISH: INDEED.
IT IS INTERESTING, RIGHT?
THAT THIS IS BECOMING IN FACT A
TRADE ISSUE DR. JENETTE?
IT IS ALL FAST NATING.
HOW DO YOU LOWER PRICES,
MAINTAINING COMPETITIVE ENOUGH
SPIRIT MAINTAINING INDUSTRY
WHERE COMPANIES ARE REWARDED FOR
CREATING DRUGS.
THE IT IS INTERESTING THAT THE
U.S. IS THE SUPREME SECTOR, AND
THERE IS LOT OF FINANCIAL
REWARD.
IF YOU'RE STARTING A DRUG
COMPANY OVERSEAS, YOU WILL NOT
MAKE AS MUCH AS SELLING IT HERE
IN THE U.S.?
HOW DO YOU PRESERVE THE
WILLINGNESS TO INVEST IN
RESEARCH AND R&D AND NOT MAKING
SURE CONSUMERS ARE GETTING STUCK
WITH THE HIGHEST PRICES IN
WORLD?
>> LIKE THE PRESIDENT SAID,
COMPLICATED PROCESS.
THAT IS IMPORTANT AS WELL AS
TRANSPARENCY.
IMPORTANT TO NOTE WHAT YOU'RE
PAYING FOR.
WHY ARE HIDDEN FEES.
IT IS IMPORTANT FOR PATIENTS TO
BE INFORMED AND AWARE, THEY CAN
SHOP AROUND.
THEY CAN LOOK FOR OTHER PRICES.
CHEAPER PRICES.
THEY SHOULD ASK FOR GENERICS.
THEY SHOULD ASK FOR 90-DAY
SUPPLY, MAIL-ORDER PHARMACY.
UNFAIR TO PATIENTS AND
CONSUMERS, TO NOT HAVE ALL THE
OPTIONS PRESENTED TO THEM.
TRISH: WHAT ABOUT THAT GAG RULE.
>> YEAH.
TRISH: THAT'S HORRIBLE.
THE IDEA, ED, THAT A PHARMACIST
IS NOT ALLOWED TO SAY, HEY,
THERE IS COUPON FOR THIS.
MAYBE IF YOU TRY BUYING IT FROM
SOME OTHER PLACE YOU WILL GET A
BETTER DEAL?
>> IT IS INTERESTING THAT YOU
BROUGHT THAT UP BECAUSE ONE OF
THE THINGS ABOUT THIS WHOLE
ISSUE AND THE PRESIDENT'S
PACKAGE IS SOME THINGS ARE
DESIGNED TO LOWER COST OF DRUG
THEMSELVES.
BUT THERE ARE OTHER THINGS
DESIGNED TO BE MORE TRANSPARENT
OR LESS COSTLY TO THE PATIENT.
SO, FOR EXAMPLE, I WAS READING A
STUDY THE OTHER WEEK THAT SHOWED
THE, THERE WAS ESTIMATING HOW
MANY OF THESE INSURANCE PLANS
HAVE CO-PAYS THAT ARE HIGHER
THAN THE COST OF BUYING THE
GENERIC DRUG YOURSELF.
TRISH: OH, MY GOODNESS.
>> I THOUGHT THAT WAS VERY --
THAT IS WHAT YOU'RE TALKING
ABOUT, THAT YOU CAN'T BE TOLD
THAT.
I THOUGHT THAT WAS VERY
INTERESTING BECAUSE I PERSONALLY
HAVE THROUGH MY EMPLOYER I PICK
THE HEALTH SAVINGS ACCOUNT
APPROACH.
WHEN I GET A GENERIC DRUG
REFILLED, INSTEAD OF HAVING A
$15 CO-PAY, I PAY $8.49 FOR THE
DRUG UNTIL I MEET MY DEDUCTIBLE,
THEN THE PLAN PAYS FOR IT.
SOME OF THIS IS NOT ABOUT THE
ACTUAL PRICE OF THE DRUG.
WE GET TO THE MIDDLEMAN.
WHAT DOES THE PATIENT PAY.
SAME THING WITH SPECIALTY DRUGS.
IF YOU SEE A FORMULARY, THIS FOR
GENERIC, AND BRANDED CO-PAY,
SPECIALTY DRUG, WHAT IS
SPECIALTY DRUG?
OFTEN
BUT INSURANCE PLANS DON'T SAY,
WELL, YOU HAVE A HIGHER COPAY
BECAUSE IT'S A SPECIALTY
OPERATION AS OPPOSED TO A
REGULAR OPERATION.
TRISH: TRULY WE NEED COMMON
SENSE.
SAY, LOOK, THIS IS WHAT IS
NEEDED, WE NEED TO LOOK OUT FOR
THE AMERICAN PEOPLE, WE NEED TO
LOOK OUT FOR DR. JANET'S PATIENT