BIA- & CEA - Analysis 2005-2015 - pharmaLevers

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BIA- & CEA - Analysis 2005-2015

Academy > System Dynamics

Number of Cost-Effective & Budget Impact Analysis in the last decade

Innovations offer additional medical benefits at additional costs. The target price of a new drug is frequently based on cost-effectiveness calculations including deterministic and probabilistic sensitivity analysis to cope with uncertainty. Cost-effective analysis (CEA) allows to ask for prices which can be much higher than older comparative drugs. Therefore, the number of CEA-publications was rising tremendously from 2005 to 2015 (Figure: orange line). However, the sum of cost-effective therapies is affecting Payers’ Budget acutely. Consequently, the number of Budget Impact Analysis (BIA) has more than doubled in the last two years (Figure: blue bars). We believe that publications should combine CEA/BIA more frequently as it is still rarely used in 2015 (Figure: gray bar).

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