DRUG PRICING PRINCIPLES

Michael D. Miller, MD

Healthcare Consultant

Pharmaceutical pricing and utilization are influenced and, in some cases, controlled by a patchwork of government laws and regulations overlaying a diverse web of private insurance plans, self-paying individuals, and charity healthcare services. Biotech companies need to understand how to integrate these factors into their product development plans. Although this chapter focuses on pharmaceutical pricing in the U.S., foreign pricing systems are also discussed.