Mid-Term Flashcards
(54 cards)
What is a blockbuster? Why is it important?
A drug that generates at least 1 billion in sales annually. All drug companies want a blockbuster because they fund other drug development (its really expensive to start and develop a drug).
What is the average cost of new drug approval?
$2-$3 billion
What percent of drugs that enter clinical trials obtain FDA approval?
14%
How long does it take to develop a drug?
7-12 years
How long does a drug patent last?
20 years
Why do drug companies pursue different indications after the drug is launched?
More indications = More sales
Patent extension: 6 additional months to the patent if the drug indicates use for pediatric patients
What is the difference between generic drugs and brand name drugs?
They are identical. Generic are available after the patent expiries.
What is the value of generic drugs?
They help to increase availability and to decrease the price of drugs.
Who is Martin Shkreli?
he increased the price of a drug that had been off patent for almost 40 years from $13.50 to $750 per pill. The drug was a treatment for immunocompromised patients (like those with AIDS).
What is Cost Plus Drug Company?
Its a drug company that don’t have pharmacy benefit managers. Transparency is their model. They buy the drug and then they mark it up 15%.
What is a Pharmacy Benefit Manager?
A third-party company that is the intermediary between insurance providers and pharmaceutical manufacturers.
What are the 5 Key Functions of a Pharmacy Benefit Manager?
- Formulary Design
- Utilization Management
- Price negotiation
- Pharmacy Network Formation
- Mail Order Pharmacy Services
What are the cons of Pharmacy Benefit Managers?
Monopolization of the industry,
patients limited to certain medications, squeezing small businesses
What are some barriers to getting medications in African countries?
- High Price
- Difficulty in Registration and Regulation
- Lack of Transportation
- Lack of Technology
- Lack of Healthcare Workers
- Poor Supply and Demand
- Disease Burden
- Poor Governance
- Poor inventory Management
What is Health Insurance?
Its a contract between supplier and consumer. The consumer pays a monthly fee and the provider provides payment for all or some of the healthcare costs that you have during the coverage period.
What is Medicare?
A cheaper insurance through government programs. Its for people who are older than 65, have certain disabilities, ALS and people on dialysis. It lacks coverage in certain areas including long-term care facilities and medications.
What is CHIP?
Children’s Health Insurance Plan. For children under 19 years of age and below a certain income.
What is Medicaid?
Provides insurance to low-income families/individuals. It’s a combo of government and state funding. The federal government matches state spending. Minimum of 50% and maximum of 83%.
What is COBRA?
Offers protection from losing health insurance with job changes for former employees, spouses, former spouses, and dependent children. This coverage lasts for about 18 or 36 months depending on the scenario.
What’s a Deductible?
Money that an insured person must pay out of pocket every year for eligible healthcare services before the insurance plan begins to cover the costs.
What is a Co-Pay?
Its a fixed out of pocket amount paid by the customer. This is separate from deductible and coinsurance. Some visits have no copay depending on the plan (Annua physical).
What is coinsurance?
A fixed percentage an insured person must pay toward a covered claim after the deductible is satisfied. Coinsurance starts after you have met your deductible. An 80/20 split is most typical.
What is an Out of Pocket Maximum?
The most you’ll have to pay per year for covered healthcare services. Once the insured has spent this amount on deductibles, copayments, and coinsurance for in-network care and services, your health insurer will pay for 100% of our healthcare services.
Who is more likely to have sleep apnea (what ratio)?
Men are 2-3 times more likely to have sleep apnea.
