WASHINGTON, DC (January 30, 2023) — The Association for Accessible Medicines (AAM) applauds the Centers for Medicare & Medicaid Services (CMS) for several of the recommended provisions outlined in the proposed Patient Protection and Affordable Care Act, HHS Notice of Benefit and Payment Parameters for 2024. In particular, AAM publicly commends the administration’s efforts to standardize plan choice by requiring generic drugs be placed on “generic” tiers and brand-name drugs on “brand-name” tiers.
Because new, lower-cost generics and biosimilars also face coverage challenges as a result of the perverse incentives of brand drug rebates, AAM further recommends that CMS and HHS take steps to ensure timely patient access to new generic and biosimilar medicines by standardizing an option for a generic and biosimilar specialty tier.
“In spite of the lower prices of generics and biosimilars, plan design too often does not optimize their use. And when this occurs, patients are forced to pay more than necessary,” noted interim CEO David Gaugh. “We look forward to working with the CMS to ensure that patients have access to and realize the full value of lower cost generic and biosimilar medicines.”
Director of Communications, AAM
AAM is driven by the belief that access to safe, quality, effective medicine has a tremendous impact on a person’s life and the world around them. Generic and biosimilar medicines improve people’s lives, improving society and the economy in turn. AAM represents the manufacturers and distributors of finished generic pharmaceuticals and biosimilars, manufacturers and distributors of bulk pharmaceutical chemicals, and suppliers of other goods and services to the generic industry. Generic pharmaceuticals are 91 percent of prescriptions dispensed in the U.S. but only 18 percent of total drug spending.
About the Biosimilars Council
The Biosimilars Council, a division of the Association for Accessible Medicines (AAM), works to ensure a positive environment for patient access to biosimilar medicines. The Biosimilars Council is a leading source for information about the safety and efficacy of more affordable alternatives to costly brand biologic medicines. Areas of focus include public and health expert education, strategic partnerships, government affairs, legal affairs and regulatory policy. More information is available at www.biosimilarscouncil.org.