Two years after Japan began employing a cost-effectiveness evaluation system to determine the efficiency and allocation of health resources, it is preparing for the first time to adjust prices of pharmaceuticals and medical devices based on such assessments.
Japan's Central Social Insurance Medical Council (Chuikyo) is expected to discuss the potential price adjustments at a meeting in April. The first such adjustments are likely to be applied mainly to categories of drugs and medical devices that are innovative, but which have been costly. Only products already approved for sale in Japan will be subject to price adjustments.
Cost-effectiveness divides the net cost of implementing a health measure by the change in health outcomes in a target patient population. Japan first announced it would be moving to implement a cost-effectiveness evaluation system in April 2019. While Japanese healthcare officials say the system will improve the allocation of healthcare, pharmaceuticals, and medical devices, industry leaders have warned it will disincentivize innovation and hamper patient access.
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Ames Gross
President
Pacific Bridge Medical
Bethesda, MD
www.pacificbridgemedical.comcontact@pacificbridgemedical.com------------------------------