RADNOR, PA – August 15, 2024 — Certara, Inc., a global leader in model-informed drug development, has published new research on the impact of the Inflation Reduction Act (IRA) on oncology biosimilar uptake. Signed into law two years ago, the IRA was intended to expand benefits and lower costs for Medicare beneficiaries. One way the IRA accomplishes this aim is by providing a Medicare Part B reimbursement enhancement for biosimilar drugs. Biosimular manufacturers who are able to get their products adopted quickly are much more likely to attain commercial success than those with slow uptake.
As part of the industry report “Boost or Bust?” Evaluating the Impact of the IRA’s Enhanced Reimbursement on the Uptake of Biosimilars”, Certara U.S. market access experts, Caitlin Verrilli; Matias Junghahn; and Max Vargas surveyed 79 facilities administering intravenous (IV) oncology therapies to quantify awareness of the enhanced reimbursement provision and perception of its impact on biosimilar utilization at their institution. The survey asked respondents about 17 oncology and supportive care biosimilars and five reference products.
“The key takeaway from our research is that the IRA’s Medicare boost has had a small but measurable impact on increasing biosimilar market share and savings for the U.S. healthcare system,” said Max Vargas, Vice President U.S. Access Certara. Over the next few years, a new wave of biosimilars will hit the market. Then, the provision’s effectiveness in overcoming the current perverse utilization incentives will be tested.”
Several key areas of biosimilar uptake and utilization are examined throughout the report:
- Trends in oncology biosimilars uptake and market share
- The relationship between awareness of IRA enhanced reimbursement and utilization of biosimilars at oncology treatment sites
- Facility characteristics associated with the level of biosimilar utilization
- Expectations over the final years of the initiative
For a more in-depth discussion on Certara’s research on the IRA’s enhanced reimbursement provision and its impact on biosimilars uptake, attend a presentation by Caitlin Verrilli, Director, US Access Strategy, at the 8th Annual Pharma Pricing, Reimbursement & Market Access USA event Sept. 20 in Philadelphia, PA.
A free copy of the industry report “Boost or Bust?” Evaluating the Impact of the IRA’s Enhanced Reimbursement on the Uptake of Biosimilars” is available.