new form of interferon beta-1a (IB1a2) was approved in March 2002 for the treatment of relapsing, remitting multiple sclerosis (RRMS).1 Clinical trial results suggested improved clinical efficacy compared to the previous formulation of interferon beta-1a (IB1a1), leading to an override of the existing product' s orphan-drug-status exclusivity.2 IB1a2, an injectable, subcutaneous therapy, will be a direct competitor in the RRMS marketplace, 3 which includes IB1a1, interferon beta1b (IB1b), and glatiramer (Table 1). As a new first-line therapy and expensive biotech product, health plans may need to consider the pharmacy-budget impact of this product.RRMS is the most common presentation of multiple sclerosis at onset, affecting 65% to 85% of newly diagnosed cases. 4,5 Although therapies attempt to slow progression, many RRMS patients develop the secondary progressive (SPMS) form of the disease and face significant disability. 4 Some new MS cases may present in the primary progressive form (10%) without relapses or remissions in symptoms over time. 5 Fewer cases (5%) have the primary relapsing form, which is characterized by chronic deterioration and acute episodes.5 Managed care prevalence of MS in insured populations has been measured at rates of 24/10,000 enrollees for privately insured populations, with higher rates in Medicare (36/10,000) and Medicaid (71/10,000) over 2 years.
6This benefit forecast analysis quantifies pharmacy costs from the perspective of the managed care payer, using actual careseeking behavior as measured in administrative claims. It does not consider literature-based values, such as quality of life or medical-cost offsets, as do traditional cost-effectiveness or cost-utility models that may not reflect actual community practice.7-9 The forecasting analysis quantifies the use of therapies in a population and calculates the budget impact based on a simple scenario: unit cost multiplied by volume.The importance of this approach is that it provides timely data regarding anticipated (pipeline) or recently approved therapies that may concern decision makers because of price, potential adoption as a new standard of care, or the number of patients affected.Indeed budget impact represents an additional hurdle in the drug uptake process for managed care organizations after consideration of other primary factors, including safety, efficacy, and quality. Suite 1000, Hunt Valley, MD 21031. Tel : (410) 785-2146; Fax: (410) Copyright© 2003, Academy of Managed Care Pharmacy. All rights reserved.
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A B S T R A C TOBJECTIVE: To estimate the incremental change in pharmacy per-member-permonth (PMPM) costs, according to various formulary designs, for a new interferon beta-1a product (IB1a2) using administrative claims data.METHODS: Cross-sectional sex-and age-specific disease prevalence and treatment rates for relapsing, remitting multiple sclerosis (RRMS) patients were measured using integrated medical and pharmacy claims data from a 500,000-member employer group in the southern United States. Mi...