WASHINGTON (dpa-AFX) - Novo Nordisk CEO Lars Fruergaard Jorgensen testified before the Senate Health, Education, Labor and Pensions Committee hearing in Washington, D.C., to answer questions regarding the high rates of weight loss drug Wegovy and diabetes medication Ozempic.
During the hearing, the chief executive blamed pharmacy benefit managers or PBMs, who act as intermediaries to negotiate the terms and conditions for access to prescription drugs, as a major factor behind the elevated costs of Wegovy and Ozempic.
He further added that the company is willing to discuss with PBMs to negotiate drug rebates with manufacturers on behalf of insurers.
'Anything that can help patients get access, I am supportive of. And that includes collaborating and negotiating with anyone who can help that,' Jorgensen emphasized.
Sen. Bernie Sanders, who chairs the Senate panel, pressed the chief about why the drugs cost significantly more in the U.S. compared to other countries, noting that the company has raked in nearly $50 billion in sales from Wegovy and Ozempic, primarily from the U.S.
Sanders pointed out that Ozempic costs about $969 per month in the U.S. compared to $155 in Canada, $122 in Denmark, and $59 in Germany. Similarly, the list price for Wegovy in the U.S. is $1,349 per month, while the same product can be purchased for just $186 in Denmark, $140 in Germany and $92 in the United Kingdom.
'Treat the American people the same way that you treat people all over the world,' Sanders demanded. 'Stop ripping us off.'
The Danish company's CEO countered that Americans with insurance pay much less than the list price. He explained that Ozempic for diabetes is covered by 99 percent of commercial plans, and Wegovy is covered by half of all commercial plans, with the majority of insured patients paying $25 or less for a 28-day supply.
Notably, some lawmakers came forward to defend the pricing strategy of the drug maker.
'Novo Nordisk is not the villain in this story. They're a hero,' Sen. Roger Marshall remarked. 'Sometimes we live in a fantasy land. Which is we want you to invest massive amounts of money, but then we want you to keep the prices low.'
Copyright(c) 2024 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2024 AFX News
