SCOTTSDALE, Ariz.–(BUSINESS WIRE)–Magellan Rx Management, the pharmacy benefit management (PBM) division of
Magellan
Health, Inc. (NASDAQ: MGLN), today announced the launch of a medical
pharmacy solution targeting oncology therapeutic biosimilars. In
preparation for the expected 2019 market entry of oncology biosimilars,
the solution aims to educate customers, members and providers through
the implementation of individualized strategies that consider clinical,
financial and regulatory factors. This will ultimately result in
maintaining or expanding member access to clinically-effective
treatments, while having the added benefit of delivering significant
drug spend savings for participating customers.
As a leader in managing medical benefit oncology drug spend, Magellan Rx
has focused on advancing biosimilar utilization since 2015, empowering
customers to turn biosimilar availability into cost savings while
maintaining clinical quality. Building on the success of the Company’s recently
announced medical pharmacy program focused on biosimilar versions of
a high-cost autoimmune therapy, the expanded medical pharmacy solution
is designed specifically for oncology biosimilars and involves three key
components:
-
Proactive Management: Assessing and developing clinical
protocols while educating and communicating with network oncologists -
Medical Pharmacy Execution: Leveraging Magellan Rx’s innovative
oncology medical management expertise by incorporating biosimilars
into key utilization management programs such as medical prior
authorization and provider reimbursement/fee schedule management -
Expert Opinion: Continuously working to gain insights from our
oncology advisory board and Expert Clinical Network of key opinion
leaders
“Magellan Rx is preparing our health plan customers for the upcoming
entrance of biosimilars to the oncology category and helping them take
advantage of cost savings, while ensuring clinical efficacy and safety,
as quickly as possible after the launch of these products,” said Kristen
Reimers, RPh, senior vice president, specialty clinical solutions. “Our
oncology biosimilar initiative takes a multi-pronged approach, including
the establishment of plan-specific goals, robust provider education and
outreach, and partnership with our customers with the goal to maximize
potential savings, minimize disruption, and improve outcomes for
patients.”
Keeping Pace with the Pipeline
The U.S. Food and Drug Administration has reported that biological
products are the fastest-growing class of therapeutics.1
Entrance of oncology therapeutic biosimilars marks an increase in
competition that will have an impact on the landscape in this category.
According to the 2018
Magellan Rx Medical Pharmacy Trend Report, oncology agents make up
34 percent of the total medical pharmacy spend for commercial plans.2
The three oncology brands with expected biosimilar availability in 2019
make up $9 billion in U.S. drug sales, and almost $50 million in annual
drug spend per one million covered commercial lives.2
Magellan Rx is projecting savings to be $5-$8 million per one million
covered lives, but there is potential for even greater savings based on
Magellan Rx’s past successes with biosimilars. The opportunity is even
more compelling for the Medicare population, where spend for the same
three drugs is almost double at over $90 million per one million covered
lives.2
For more on forecast and trends in the oncology category, watch
our video here.
References:
-
Biosimilar and interchangeable products. Food and Drug Administration.
2018. http://www.fda.gov/Drugs/DevelopmentApprovalProcess/HowDrugsareDevelopedandApproved/ApprovalApplications/TherapeuticBiologicApplications/Biosimilars/ucm580419.
Accessed 2019 Mar 21. -
2018 Magellan Rx Management Medical Pharmacy Trend ReportTM,
©2019.
About Magellan Rx Management: Magellan
Rx Management, a division of Magellan
Health, Inc., is a full-service, next-generation pharmacy benefit
manager (PBM) that helps our customers and members solve complex
pharmacy challenges by connecting them to the people, technology, and
information they need to make smarter healthcare decisions. As experts
in managing specialty spend both on the prescription and medical
benefit, we are energized by discovering new and better ways to deliver
solutions in today’s complex and rapidly-evolving healthcare
environment, leading people to live healthier, more vibrant lives.
About Magellan Health: Magellan
Health, Inc., a Fortune 500 company, is a leader in managing the
fastest growing, most complex areas of health, including special
populations, complete pharmacy benefits and other specialty areas of
healthcare. Magellan supports innovative ways of accessing better health
through technology, while remaining focused on the critical personal
relationships that are necessary to achieve a healthy, vibrant life.
Magellan’s customers include health plans and other managed care
organizations, employers, labor unions, various military and
governmental agencies and third-party administrators. For more
information, visit MagellanHealth.com.
(MGLN-GEN)
Contacts
Media Contact:
Lilly Ackley, [email protected],
(860) 507-1923
Investor Contact:
Joe Bogdan, [email protected],
(860) 507-1910
