COVID sparks increased concern about drug prices
Many fear that pharmaceutical companies will use the current situation as another excuse to raise prices.
Americans have a lot to worry about right now: job stability, the economy and their finances, and of course, the risk of catching COVID-19. Add to that another concern: rising prescription drug prices.
According to a recent survey from West Health and Gallup, 88% of Americans are either “somewhat” or “very” concerned (55% and 33%, respectively) that drugmakers will capitalize on the current pandemic to raise drug prices.
Related: Will Trump use executive action to cut drug prices?
“Concerns loom large that when the pandemic is all over, Big Pharma and insurance companies will revert to old patterns and behaviors and continue to squeeze Americans with ever-higher drug prices and insurance premiums,” said Tim Lash, chief strategy officer for West Health. “If history is any guide, these concerns are well-founded, which is why promises to rein in prices are not enough.”
Indeed, drug prices were a burden for Americans before the pandemic, and lawmakers have struggled to find a solution to bring cost increases into check. With 54% of respondents in the Gallup survey rating the country’s response to the pandemic as “fair/poor,” they’re also likely to have little faith in the government’s ability to keep drug prices from continuing to climb as a result of the pandemic.
Rising health care costs and insurance premiums are of only slightly less concern to the population, with 41% of respondents saying they’re “very” concerned about each. While the numbers suggest that health care providers may try to impose price increases to recoup lost revenues, health insurers have actually issued rebates as the number of claims has decreased.
Though sentiment about all three issues varies based on income, gender and race and political identity, the survey results reflect a nation already struggling with the burden of health care cost and access, and a second wave of COVID-19 will only worsen the strain.
The report recommends government officials take action to temper any drastic changes in drug and health care price increases. They would also do well to assure Americans that when there is a treatment for the virus, it will be accessible and affordable. Among respondents, 88% would like to see the government step in and handle price negotiations with drug manufacturers when there is a treatment.
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