Drugmaker Sanofi announced on Thursday that it will reduce the list price of its most widely prescribed insulin by 78% and cap out-of-pocket costs for the drug at $35 a month for all patients with private insurance.[0] This move follows Eli Lilly and Novo Nordisk’s similar announcements and brings the three companies’ combined market share to 80%.[1]
In June 2022, Sanofi launched an unbranded biologic for Lantus at 60 percent less than the Lantus list price, but the health system was unable to take advantage of it due to its inherent structural challenges.[0]
The cost of insulin in the United States has been a point of contention for years, with some insulin products jumping 200% in cost between 2007 and 2018, according to The Lancet. U.S. insulin prices have been five to 10 times higher than in other high-income countries.
The price cuts come after years of escalating public backlash to the companies’ steep price hikes on insulin, which many advocates have described as price gouging.[2] About 8 million Americans use insulin to control their diabetes, according to the American Diabetes Association.[3]
On Tuesday, Novo Nordisk said it will reduce the list price of its NovoLog insulin by 75% and slice the cost of Novolin and Levemir by 65%. The cuts will take effect on January 1, 2024.[4] Additionally, it will reduce the list price of insulin aspart and insulin aspart protamine and insulin aspart to match the lowered price of each respective branded insulin.
Several weeks ago, Eli Lilly declared that it would be significantly cutting its insulin prices in the current year.[5]
Olivier Bogillot, head of U.S. general medicines with Sanofi, expressed: “Sanofi believes that no one should struggle to pay for their insulin and we are proud of our continued actions to improve access and affordability for millions of patients for many years,”[6]
President Joe Biden also commented on the situation, stating: “Sanofi is the latest company to recognize that charging hundreds of dollars for insulin that costs $10 to produce is just wrong, especially when the lives of so many children, parents, and grandparents depend on it.[6] Congress should still pass legislation to ensure everybody can get insulin for no more than $35 per month.[4]
0. “Three’s company: Sanofi joins Novo Nordisk, Eli Lilly in slashing price of insulin” MM+M Online, 17 Mar. 2023, https://www.mmm-online.com/home/channel/threes-company-sanofi-joins-novo-nordisk-eli-lilly-in-slashing-price-of-insulin/
1. “Insulin Makers Lowered Prices to Save — and Make — Money” Yahoo Life, 17 Mar. 2023, https://www.yahoo.com/lifestyle/insulin-makers-lowered-prices-save-225620150.html
2. “Here’s why slashing insulin prices will actually save Big Pharma money” Ars Technica, 14 Mar. 2023, https://arstechnica.com/science/2023/03/heres-why-slashing-insulin-prices-will-actually-save-big-pharma-money/
3. “Sanofi announces insulin price cap of $35 per month out-of-pocket” NBC News, 16 Mar. 2023, https://www.nbcnews.com/health/health-news/sanofi-insulin-price-cap-rcna75346
4. “Sanofi is the latest insulin maker to announce price cap” FOX 17 West Michigan News, 17 Mar. 2023, https://www.fox17online.com/news/national/sanofi-is-the-latest-insulin-maker-to-announce-price-cap
5. “Strategy Behind Lowered Insulin Prices: Novo Nordisk and Eli Lilly” BioSpace, 15 Mar. 2023, https://www.biospace.com/article/daily-insulin-prices-are-falling-what-about-novel-therapies–
6. “Sanofi cuts insulin cost to $35, third major drug company to do so” UPI News, 16 Mar. 2023, https://www.upi.com/Health_News/2023/03/16/sanofi-lantus-insulin-price-cut/7141679006129/