4 research outputs found
Using Pharmacoeconomic Modelling to Determine Value-Based Pricing for New Pharmaceuticals in Malaysia
Background: Decision analysis (DA) is commonly used to perform economic
evaluations of new pharmaceuticals. Using multiples of Malaysia’s
per capita 2010 gross domestic product (GDP) as the threshold for
economic value as suggested by the World Health Organization (WHO), DA
was used to estimate a price per dose for bevacizumab, a drug that
provides a 1.4-month survival benefit in patients with metastatic
colorectal cancer (mCRC). Methods: A decision model was developed to
simulate progression-free and overall survival in mCRC patients
receiving chemotherapy with and without bevacizumab. Costs for
chemotherapy and management of side effects were obtained from public
and private hospitals in Malaysia. Utility estimates, measured as
quality-adjusted life years (QALYs), were determined by interviewing 24
oncology nurses using the time trade-off technique. The price per dose
was then estimated using a target threshold of US567 and $1258, respectively.
Conclusion: The use of decision modelling for estimating drug pricing
is a powerful technique to ensure value for money. Such information is
of value to drug manufacturers and formulary committees because it
facilitates negotiations for value-based pricing in a given
jurisdiction