ZBIO - Drug Pricing Reform Continues
By Ethan Lovell
Portfolio Manager Ethan Lovell discusses a new proposal to overhaul drug pricing in Medicare Part B and what it could mean for drug manufacturers.
Key Takeaways
- A proposal to lower drug costs would align Medicare Part B drug prices with prices outside the U.S., where cost savings can be significant.
- If approved as currently written, the reform would lower drug prices in Part B by roughly 30%. However, the proposal is limited in scope and likely to affect only a small percentage of global pharmaceutical sales.
- We believe drug costs will remain