Proving The Value Of Value-Based Deals

 
• By Ed Silverman
  
Generate a summary of this article
Listen to this article
Beta

As controversy continues over pharmaceutical pricing, more drugmakers are eyeing deals that peg health plan cost to outcomes to boost volume and win formulary placement. But these deals are challenging to construct and to date there is little evidence that they reduce costs for patients.

Value Based Deal_1200

Several times a month, Michael Sherman, MD, gets a call from someone curious about his deal-making. Sherman is not a venture capitalist or head of technology transfer at a university, though. He is chief medical officer at Harvard Pilgrim Health Care Inc., which is the second largest health insurer in New England. But his willingness to embrace a controversial approach in the US toward negotiating with drugmakers has placed him at the center of a growing debate over the value of prescription medicines.

Over the past two years, he has inked half a dozen outcomes-based contracts with drug companies, making Harvard Pilgrim something...

In Vivo Podcast

Candid conversations with C-suite leaders.

Keep up with strategy, innovation and evolving trends across life science industries.

SpotifyApple PodcastsWebsite

More from Market Access

How To Decarbonize Pharma R&D

As the planet heats up and sea levels rise, the need to reduce carbon emissions is becoming ever more urgent. The life sciences industry is just one of many that are looking to cut the carbon it produces.

IV-MarketAccess (Premium-1): Stimulant Medications Don’t Cause Psychosis, New Study Finds

 
• By Nabil

Instead, the new study found children with more severe attention and hyperactivity issues or other mental health conditions such as anxiety were more likely to be medicated for ADHD.

[Test]With 75 Pipeline Candidates, TIL Therapies Gain Momentum in Solid Tumor Space

 
• By Nabil

Tumor infiltrating lymphocyte therapies show promise for solid tumors, with a first FDA approval, but face manufacturing and access challenges as development continues.

In Search Of Rare Disease Treatments, Nonprofits Can Lead the Charge

 
• By David Wild

Nonprofits are finding new ways to address market gaps and develop treatments for rare diseases with little commercial attraction.

More from In Vivo

XXXXtesting

 
• By Saba Afreen

XXXXtesting

In Vivo’s 2026 Rising Leaders At A Glance

 
• By Saba Afreen

Top 30 leaders: see the list of industry influencers highlighted in the sixth edition of In Vivo's Rising Leaders series.

InVivo-Innovation-Free: ‘Interview’ article that includes different Composer content

 
• By Nabil, Olga Zviezdicheva, Reed Miller, Mary Jo Laffler, Ian Schofield, João Andrés-Ruíz de la Fontaine-LeBlanc, Chloë Anastasía-Stojanović del Castillo-Ribeirão, and Nabil

To make your document look professionally produced, Word provides header, footer, cover page, and text box designs that complement each other. For example, you can add a matching cover page, header, and sidebar. Click Insert and then choose the elements you want from the different galleries.