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Trends That Matter for Oncology Biosimilars Management

Posted by Judy Packer Tursman on Jul 18, 2019

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Magellan Rx Management, the PBM division of Magellan Health, Inc., on June 4 announced its launch of an oncology biosimilars program, preparing its health plan customers for the expected market entry of biosimilars for three cancer-fighting drugs — Herceptin, Rituxan and Avastin — later this year, AIS Health reported.

"Oncology is by far the largest therapeutic area for drug spend on the medical benefit, and it is even higher in Medicare," Steve Cutts, senior vice president and general manager for Magellan Rx's specialty drug unit, tells AIS Health. Thus, he says, the PBM will be focusing the oncology biosimilars program "on all lines of business for our clients."
 
The three oncology brand drugs together account for $9 billion in U.S. drug sales, and almost $50 million in annual drug spend per 1 million covered commercial lives, Magellan Rx says. The PBM anticipates savings of $5 million to $8 million per 1 million covered lives via its new program but sees "potential for even greater savings based on [its] past successes with biosimilars."

Cutts notes that Herceptin, Rituxan and Avastin "all have FDA approved biosimilars which are due to be launched and available on the market in 2019, with some speculated to be available as soon as this month."
 
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Topics: Industry Trends, Product Release, Data & Analytics