What the U.S. Can Learn from Germany's Drug Assessment and Value-Based Pricing Initiative
<p>Pharmaceutical prices in Germany are high compared with most other wealthy nations, though not as high as in the United States. As part of its efforts to control costs while still ensuring access to a range of therapies, Germany mandates that all newly introduced drugs be subject to an assessment of their benefits in relation to a comparator, typically the current standard treatment. </p><p>In a new <a href="/publications/issue-briefs/2013/oct/early-benefit-assessment-pharmaceuticals-germany-lessons">Commonwealth Fund issue brief,</a> Sophia Schlette and Rainer Hess show how Germany's new system works, and how it encourages drug companies to invest in truly innovative therapies that improve health outcomes. The authors also offer insights for policymakers in the U.S., where comparative effectiveness research is publicly funded but programs like Medicare and Medicaid are restricted in using the findings to make coverage or pricing decisions. </p>
<p>Visit <a href="/publications/issue-briefs/2013/oct/early-benefit-assessment-pharmaceuticals-germany-lessons">commonwealthfund.org</a> to read more about Germany's experience with early benefit assessment and value-based pricing, and what the U.S. might learn.</p>