>>> 26-YEAR-OLDS ARE NOT SUPPOSED TO DIE BECAUSE THEY
DON’T HAVE INSULIN.
WITHOUT INSURANCE, ALEX SMITH
COULDN’T AFFORD THE $1300 A
MONTH TO CONTROL HIS DIABETES SO
HE TRIED RATIONING HIS INSULIN,
EMPTY VIALS FOUND NEAR HIS BODY.
>> ACROSS THE COUNTRY, 7 MILLION
PEOPLE DEPEND ON INSULIN TO
SURVIVE AND MANY TAKE DESPERATE
MEASURES TO GET THE MEDICINE AS
COSTS SKYROCKETING.
COSTS SKYROCKETING. SOME TRAVELING TO MEXICO TO GET
IT AT A FAR LOWER COST THAN IN
THE UNITED STATES.
IT NEARLY DOUBLED FROM 2012 TO
2016 TO A COST OF MORE THAN
$57-00.
$57-00. SOME PAY FAR MORE AND MANY
REPORTED A BIG PRICE SPIKE IN
JUST THE LAST TWO YEARS.
IN FOUR PATIENTS SKIMPIED
BECAUSE OF HIGH COST.
IT’S AN ACUTE CRISIS THAT DONALD
TRUMP HAS DONE LITTLE ABOUT.
HOUSE REPUBLICANS ARE WARNING
DRUG COMPANIES NOT COOPERATE
WITH A HOUSE DEMOCRAT-LED
INVESTIGATION INTO DRUG PRICES
WHICH ARE THE HIGHEST IN THE
WORLD.
WORLD. IT’S AGAINST THIS BACKDROP THAT
DEMOCRATS ON OVERSIGHT AND
INVESTIGATIONS CONVENED A SECOND
HEARING ON THE RISING COST OF
INSULIN WITH MANUFACTURERS OF
INSULIN IN THE LARGEST BENEFIT
MANAGERS.
MANAGERS. THE CHAIR IS DEMOCRAT DIANA
DIGET FROM COLORADO AND SHE
JOINS ME TO CHAIR WHAT SHE
LEARNED.
LEARNED. WHAT DID YOU LEARN?
>> WE LEARNED THAT INSULIN
PRICES HAVE BEEN GOING UP AND
EVERYONE IN THE SYSTEM IS TO
BLAME.
BLAME. THE PHARMACEUTICAL COMPANIES ARE
SETTING THE LIST PRICES REALLY
HIGH.
HIGH. IT DOUBLED IN THE LAST FEW
YEARS, BUT IN THE 10 YEARS
BEFORE THAT, IT TRIPLED BEFORE
THAT.
THAT. THESE LIST PRICES ARE GOING UP
HIGHER AND HIGHER.
EVERYBODY IN THE DISTRIBUTION
SYSTEM TAKES A CUT OF THE LIST
PRICE.
PRICE. THE PHARMACY BENEFIT MANAGER WHO
IS ARE NEGOTIATING WITH THE
INSURANCE COMPANIES TAKE A CUT.
THE INSURANCE COMPANIES TAKE A
CUT.
CUT. THE WHOLESALERS TAKE A CUT.
EVERYBODY TAKES A CUT AND THAT
IS PRESSURING THE PRICE TO GO UP
AND UP.
AND UP. >> I DON’T UNDERSTAND BECAUSE
THIS IS NOT -- SOMETIMES YOU
WILL SEE FAMOUSLY THE MARTIN SKA
RELY WHO HAD THE AIDS DRUG AND
ONLY ONE MANUFACTURER AND HE
COULD JACK THE PRICES UP AND
THERE WAS NO COMPETITOR.
INSULIN IS STRAIGHT FORWARD AND
HAS BEEN AROUND SINCE THE 1920s.
WHAT MECHANISM IS FAILING TO
CONSTRAIN THE PRICES.
>> INSULIN HAS BEEN AROUND FOR
ALMOST 100 YEARS.
FOR EXAMPLE, ONE OF THE SHORT
ACTING INSULINS THAT HAS BEEN
AROUND FOR OVER 20 YEARS T COSTS
$35 IN 2001.
NOW IT COSTS OVER $200.
$270.
$270. THE ONLY REASON FOR THAT IS THAT
THE PRICING SYSTEM WE HAVE RIGHT
NOW.
NOW. >> WHATEVER IS DOING THIS TO
INSULIN IS OTHER DRUGS, TOO.
SHOULDN’T THERE BE A DIGGER
SOLUTION OR DO YOU MANDATE DRUG
CAPS LIKE IN EVERY OTHER OECD
COUNTRY?
COUNTRY? >> ONE OF THE REASONS WHY WE DID
THIS INSULIN INVESTIGATION IS IT
IS A CASE STUDY.
IT’S A DRUG THAT MANY PEOPLE
LIKE THE PERSON, ALEX, THAT YOU
FOCUSED ON, THEY NEED IT TO
LIVE.
LIVE. IF THEY DON’T HAVE IT, THEY WILL
DIE.
DIE. THEY NEED IT EVERY SECOND, EVERY
MINUTE OF EVERY HOUR OF EVERY
DAY OF THEIR LIVES.
IF IT’S TOO XEXPENSIVE, THEY WIL
DIE.
DIE. WHAT HAPPENED IS THERE ARE SO
MANY PRESSURES FROM THE WHOLE
DISTRIBUTION SYSTEM THAT THE
INSULIN PRICE KEEPS GOING UP AND
UP.
UP. IF YOU ARE ON AN INSURANCE PLAN,
MAYBE YOU GET A GOOD COPAY, BUT
IF YOU DON’T HAVE INSURANCE OR
YOU ARE IN THE DONUT HOLE OR THE
INSULIN IS NOT LISTED ON YOUR
DRUG FORM LEAR, YOU ARE OUT OF
LUCK.
LUCK. >> WHAT’S THE SOLUTION HERE?
>> NUMBER ONE, MORE TRANSPARENCY
IN THE SYSTEM.
NUMBER TWO, WE NEED REGULATIONS
THAT MAKE ESSENTIAL DRUGS LIKE
INSULIN AT A VERY LOW BASE
PRICE.
PRICE. THERE ARE A NUMBER OF OTHER
THINGS WE CAN DO, TOO, BUT THE
INDUSTRY IS GOING TO HAVE TO
WORK WITH US.
THE FIRST THING WE NEED TO DO IS
TRANSPARENCY.
TRANSPARENCY. >> THEY ARE NOT GOING TO WORK
WITH YOU BECAUSE THEY ARE
DONATING TO EVERY’S COVERS ON
CAPITOL HILL.
CAPITOL HILL. >> IF THEY DON’T WORK WITH US,
WE WILL MAKE THEM DO IT.
ONE OF THE THINGS THAT STRUCK ME
IN THE HEARING IS WE HAD
TREMENDOUS BIPARTISAN AGREEMENT
ABOUT HOW SERIOUS THIS PROBLEM
IS AND WHAT WE NEED TO DO.
I’M THE COCHAIR OF THE DIABETES
CAUCUS WITH TOM REED OF NEW
YORK, A REPUBLICAN.
LAST YEAR WE DID OUR OWN
INVESTIGATION AND CAME UP WITH A
STUDY WHERE WE RECOMMENDED A
NUMBER OF LEGISLATIVE FIXES.
I BELIEVE THAT THE REPUBLICANS
WILL WORK WITH US ON THIS
BECAUSE IT’S JUST -- OUR
CONSTITUENTS, I HAD A WOMAN COME
IN DENVER, COLORADO AND SHE SAID
SHE IS WORKING THREE JOBS.
SHE IS PAYING $760 A MONTH WITH
INSULIN.
INSULIN. SHE HAS BEEN IN THE HOSPITAL
FOUR TIMES BECAUSE SHE CAN’T
MANAGE HER DIABETES.
>> PRODUCT YOU NEED TO STAY