House Introduces Bill, BIOSIM Act, Designed To Lower Drug Costs

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On April 23, 2021, Congressmen Schrader and Kinzinger introduced H.R. 2815, the Bolstering Innovative Option to Save Immediately on Medicines Act (“BIOSIM Act”).  The bill provides for temporary increased reimbursement to hospitals and doctors for biosimilar drugs from the average sales price (ASP) of the drug plus 6% to the ASP of the drug plus 8%.  The increase would last for five years.  The Biosimilars Council, a division of the Association for Accessible Medicines, sent a letter to Congressmen Schrader and Kinzinger in support of the BIOSIM Act, calling it “an important step in advancing biosimilar use and savings in the U.S.”  Their letter notes that biosimilars provide an average cost savings of 30% compared to the brand name biologic, but that adoption of biosimilars has nonetheless trailed expectations.  The Biosimilars Council also cites new data showing that reimbursement impacts adoption, and reasons that “[by] increasing reimbursement for providers, biosimilar utilization can be increased and help drive savings for patients and the U.S. health care system.”

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