New Drug Pricing Proposals Promise Huge Savings Potential

Understanding the Proposals

Recent proposals from policymakers and industry leaders focus on several key strategies to reduce drug prices. One approach involves increasing transparency in how drugs are priced, which would allow consumers to make more informed decisions. Another strategy is to promote competition by supporting the entry of generic and biosimilar drugs into the market, which typically offer the same therapeutic benefits at a fraction of the cost. For instance, the introduction of generic drugs has been shown to reduce drug prices by up to 85%¹.