Hillary Clinton, the Democratic presidential candidate, revealed its healthcare plan, which targets pharmaceutical companies.
Clinton’s healthcare plan would change the business practices of pharmaceutical companies particularly by allowing the U.S. government and Medicare to negotiate to lower the prices of prescription drugs. Her plan would also stop drug companies from spending government grants on advertising.
Clinton to crackdown skyrocketing prescription drug prices
Clinton made the issue of skyrocketing prescription drug prices as part of her regular campaign speech. During a campaign rally in Arkansas, the Democratic front-runner emphasized, “It is time to deal with skyrocketing out-of-pocket costs and runaway prescription drug prices.
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Clinton added that no person in the United States “should have to choose between buying the medicine they need and paying their rent.”
Yesterday, Clinton told her audience at Baton Rouge, Louisiana that she would announce a detailed plan to control the prices of prescription drugs.
Clinton healthcare plan
Clinton’s healthcare plan includes a proposal to limit the consumers’ out of pocket costs for drugs to $250 per month or $3,000 per year.
She also plans to eliminate corporate write-offs for direct-to-consumers advertising that may include confusing, misleading, incomplete information or exaggerated claims if bot regulated effectively.
Additionally, Clinton plans to require drug companies receiving government support to spend a sufficient amount on research and development (R&D).
The Democratic front-runner believes that her plan would save the government “billions of dollars over the next decade. Her plan builds on the Affordable Care Act, the landmark healthcare law of the Obama administration. Clinton previously stated that she whole-heartedly supports the healthcare law, but it needs some changes.
Reaction to Clinton’s plan
The Pharmaceutical Research and Manufacturers of America issued a statement indicating that Clinton’s plan “would turnback the clock on medical innovation.”
The group emphasized that her sweeping and far-reaching proposals would restrict patients from accessing medicine, which would result in fewer new treatments for patients. It would also eliminate countless jobs across the country and affect the country’s position as a world leader in biomedical innovation.
Turing Pharmaceutical under pressure to explain drastic drug price hike
Meanwhile, Sen. Bernie Sanders asked Turing Pharmaceuticals to explain the 5,000% increase in the price of Daraprim, a drug used to treat patients suffering from parasitical infections. The price of the Daraprim increased from $13.50 to $750.
In an interview with CBS, Martin Shkreli, the founder and CEO of Turing Pharmaceuticals admitted that the drastic price hike look “greedy.”
According to him, “It depends on how you define so drastically. Because the drug was unprofitable at the former price, so any company selling it would be losing money. And at this price it’s a reasonable profit. Not excessive at all.”
Yesterday, Clinton reacted to Turing Pharmaceutical’s move. She said tweeted, “Price gouging like this in the specialty drug market is outrageous.”