The health insurance industry has been pushing hard for restrictions on drug prices, but the industry’s leading trade association suggested on Tuesday that Hillary Clinton’s plan to combat "price-gouging" will only make the problem worse.
The group, America’s Health Insurance Plans, released a statement on Tuesday criticizing "recent proposals" for addressing drug prices. It did not say which proposals, but it hinted at provisions of an anticipated plan from the Democratic frontrunner, set to be released on the same day.
AHIP president Marilyn Tavenner released the following statement:
From the start of this debate, we have made clear that the explosive growth in prices for prescription drugs will jeopardize patients' access to affordable, innovative treatments. Over the past several months, consumers -- as well as hospitals, providers, employers, and state Medicaid directors -- have grown increasingly frustrated by drug costs that show no sign of slowing down.
Consumers are looking to policymakers and leaders of both parties to advance meaningful solutions to these cost challenges. Yet recent proposals that would impose arbitrary caps on insurance coverage or force government negotiation on prescription drug prices will only add to the cost pressures facing individuals and families across the country. These provisions will not make drug prices more affordable. We strongly believe that greater transparency around drug pricing and more competition in the market are critical to support sustainable, private-sector solutions that deliver the best value for patients and the health system. We are committed to working with all policymakers to achieve those goals.
AHIP has spent millions on its lobbying operation since last year, and drug price restrictions are one of its top policy priorities.
"AHIP has been aggressively focused on driving coverage of this issue and ensuring members of the media, thought leaders, and the Hill understand the significant impact high cost drugs … will have on consumers’ premiums, employers’ health care costs, and federal and state budgets," the group’s website says.
The website specifically cites the case of Sovaldi, an experimental drug for treating Hepatitis C. Other critics of high drug prices have also singled Sovaldi, but research shows that due to the drug’s one-time cost it can actually be more affordable than alternative treatments over a patient’s lifetime.
Clinton’s plan for addressing what she calls "price-gouging" in the drug market is set to be unveiled on Tuesday. It is expected to incorporate elements of a paper released the previous day by the Center for American Progress, a group with close ties to the Clinton campaign.
Critics of Clinton’s plan say it is an effort to shield insurers from blame over rising health care costs by blaming the pharmaceutical industry.