Oncology drug pricing: potential Medicare savings on cancer-directed and supportive care medications through the Mark Cuban cost plus drug model

Oncologist. 2024 Jul 5;29(7):e918-e921. doi: 10.1093/oncolo/oyae083.

Abstract

Prescription drug costs within oncology remain a challenge for many patients with cancer. The Mark Cuban Cost Plus Drug Company (MCCPDC) launched in 2022, aiming to provide transparently priced medications at reduced costs. In this study, we sought to describe the potential impact of MCCPDC on Medicare Part-D oncology spending related to cancer-directed (n = 7) and supportive care (n = 26) drugs. We extracted data for drug-specific Part-D claims and spending for 2021. Using 90-count purchases from MCCPDC, we found potential Part-D savings of $857.8 million (91% savings) across the 7 cancer-directed drugs and $28.7 million (67% savings) across 21/26 (5/26 did not demonstrate savings) supportive care drugs. Collectively, our findings support that alternative purchasing models like MCCPDC may promote substantial health care savings.

Keywords: Medicare; financial toxicity; health care costs; negotiations; policy; prescription drugs.

MeSH terms

  • Antineoplastic Agents* / economics
  • Antineoplastic Agents* / therapeutic use
  • Cost Savings
  • Medicare Part D*
  • Neoplasms* / drug therapy
  • Prescription Drugs* / economics

Substances

  • Prescription Drugs
  • Antineoplastic Agents