Estimating the clinical cost of drug development for orphan versus non-orphan drugs.


Journal

Orphanet journal of rare diseases
ISSN: 1750-1172
Titre abrégé: Orphanet J Rare Dis
Pays: England
ID NLM: 101266602

Informations de publication

Date de publication:
10 01 2019
Historique:
received: 05 06 2018
accepted: 28 12 2018
entrez: 12 1 2019
pubmed: 12 1 2019
medline: 7 5 2019
Statut: epublish

Résumé

High orphan drug prices have gained the attention of payers and policy makers. These prices may reflect the need to recoup the cost of drug development from a small patient pool. However, estimates of the cost of orphan drug development are sparse. Using publicly available data, we estimated the differences in trial characteristics and clinical development costs with 100 orphan and 100 non-orphan drugs. We found that the out-of-pocket clinical costs per approved orphan drug to be $166 million and $291 million (2013 USD) per non-orphan drug. The capitalized clinical costs per approved orphan drug and non-orphan drug were estimated to be $291 million and $412 million respectively. When focusing on new molecular entities only, we found that the capitalized clinical cost per approved orphan drug was half that of a non-orphan drug. More discussion is needed to better align on which cost components should be included in research and development costs for pharmaceuticals.

Sections du résumé

BACKGROUND
High orphan drug prices have gained the attention of payers and policy makers. These prices may reflect the need to recoup the cost of drug development from a small patient pool. However, estimates of the cost of orphan drug development are sparse.
METHODS
Using publicly available data, we estimated the differences in trial characteristics and clinical development costs with 100 orphan and 100 non-orphan drugs.
RESULTS
We found that the out-of-pocket clinical costs per approved orphan drug to be $166 million and $291 million (2013 USD) per non-orphan drug. The capitalized clinical costs per approved orphan drug and non-orphan drug were estimated to be $291 million and $412 million respectively. When focusing on new molecular entities only, we found that the capitalized clinical cost per approved orphan drug was half that of a non-orphan drug.
CONCLUSIONS
More discussion is needed to better align on which cost components should be included in research and development costs for pharmaceuticals.

Identifiants

pubmed: 30630499
doi: 10.1186/s13023-018-0990-4
pii: 10.1186/s13023-018-0990-4
pmc: PMC6327525
doi:

Types de publication

Journal Article

Langues

eng

Sous-ensembles de citation

IM

Pagination

12

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Auteurs

Kavisha Jayasundara (K)

Leslie Dan Faculty of Pharmacy, University of Toronto, Toronto, Canada. kavisha.jayasundara@mail.utoronto.ca.

Aidan Hollis (A)

Department of Economics, University of Calgary, Calgary, Canada.

Murray Krahn (M)

Leslie Dan Faculty of Pharmacy, University of Toronto, Toronto, Canada.
Toronto Health Economics and Technology Assessment Collaborative, Toronto, Canada.
Institute of Health Policy, Management and Evaluation, University of Toronto, Toronto, Canada.

Muhammad Mamdani (M)

Leslie Dan Faculty of Pharmacy, University of Toronto, Toronto, Canada.
Li Ka Shing Knowledge Institute, St. Michael's Hospital, Toronto, Canada.
Institute of Health Policy, Management and Evaluation, University of Toronto, Toronto, Canada.

Jeffrey S Hoch (JS)

Leslie Dan Faculty of Pharmacy, University of Toronto, Toronto, Canada.
Li Ka Shing Knowledge Institute, St. Michael's Hospital, Toronto, Canada.
Institute of Health Policy, Management and Evaluation, University of Toronto, Toronto, Canada.
University of California, Davis, USA.

Paul Grootendorst (P)

Leslie Dan Faculty of Pharmacy, University of Toronto, Toronto, Canada.

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