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Category: Cosby Insurance Group

McAuliffe Reappoints McDonnell’s Secretary of Health

Virginia Governor-elect Terry McAuliffe announced Wednesday his selection of Dr. Bill Hazel as secretary of health and human resources, calling him an “invaluable asset.” Hazel has been serving in the cabinet post since 2010, when outgoing Gov. Bob McDonnell appointed him.

During his tenure, Hazel has supported Gov. McDonnell in the implementation of several anti-choice policies.

Voted into office last month, McAuliffe ran a race heavily focused on protecting women’s access to abortion. The group Planned Parenthood Votes endorsed McAuliffe and spent more than $1 million blanketing the state with radio and television ads against McAuliffe’s opponent, Attorney General Ken Cuccinelli.

Read the full report here.

Managing Off-Label Drug Use

The Food and Drug Administration (FDA) authorizes the marketing of drugs only for uses that the manufacturer has demonstrated to be safe and effective. However, the FDA does not regulate medical practice, so physicians may prescribe drugs in ways that deviate from the uses specified in the FDA-approved drug label and marketing authorization, a practice referred to as off-label prescribing. This practice includes prescribing for a different therapeutic purpose, using a different dose or a different duration of use, using a different mode of administration than the one indicated on the label, and prescribing the drug for patients in a different age cohort or gender than the population on which it was tested.

Off-label prescribing makes clinical sense only in exceptional circumstances. If reasonable evidence suggests that the benefit of off-label use will outweigh the risks, that declining to treat the condition poses even greater dangers than the off-label prescription does, and that there is no adequate alternative therapy, then off-label prescribing can benefit patients. However, physicians prescribe off-label much more frequently than is justifiable: seventy percent of off-label uses lack significant scientific support. They risk harming their patients without producing therapeutic benefit.

Physicians value the right to prescribe off-label. Insurers that reimburse such prescriptions make it feasible for patients to purchase the drugs. But it is the pharmaceutical firms’ incentive to increase sales that drives this practice. More sales increases profits, whether the drugs are used as approved or off-label, so manufacturers have powerful incentives to promote off-label use and none to discourage it. Their strategies to promote off-label use are often legal and recent court decisions have made it even easier for them by expanding the scope of activities deemed to be commercial speech protected by the First Amendment. But manufacturers also have incentives to engage in illegal promotion when the expected revenue exceeds any penalties.

Unmanaged off-label drug use compromises sound medical practice and undermines the FDA’s mission of protecting patients by regulating the drug market. Yet public policy fails to track, evaluate, or oversee off-label drug use. Typical reform proposals, such as increased sanctions for illegal off-label promotion, might reduce unjustified off-label use, but addressing the source of the problem would require the following steps. Prescriptions must be tracked to identify and oversee off-label prescribing. Reimbursement rules must change so that manufacturers cannot profit from off-label sales. Manufacturers must pay for independent evaluation of off-label uses when off-label sales pass a critical threshold.

Read the full report here

Resource: Health Affairs Blog, ‘Managing Off-Label Drug Use’ by Marc Rodwin.

Americans Slightly Less Negative About Healthcare Law

Approval essentially unchanged at 41%; disapproval now down to 51%

Americans’ attitudes toward the Affordable Care Act, or Obamacare, have stabilized after becoming more negative in November. Forty-one percent now approve of the law and 51% now disapprove. This marks a slight reduction in negative views over the last two and a half weeks, while positive attitudes have remained essentially flat.

This update is from Gallup polling conducted Dec. 11-12 amid news reports of progress toward fixing the federal government’s healthcare exchange website.

Read the full report here.

Bipartisan Fix Advancing For Medicare Doctors’ Pay

It’s that time of year again: doctors caring for Medicare patients once more face a steep pay cut. But this time Congress is pursuing a permanent fix to the annual drama that has undermined the medical profession’s confidence in the nation’s premier health program.

A fundamental change in the budget equation has handed lawmakers a rare opportunity to repeal Medicare’s broken physician payment policy, while also freeing them from having to waive billions of dollars in impending cuts every year. Slowing health care inflation has slashed the cost of repealing the old formula, bringing it down to $116.5 billion over 10 years, according to the latest estimates.

Democrats and Republicans on both sides of the Capitol plan to push ahead this week with a framework for a new payment policy.

Read the full report here.