There is a crack in everything. That’s how the light gets in.Leonard Cohen

Sovaldi

Sovaldi, a new treatment for Hepatitis C, costs $1000 a pill. Members of Congress have begun an investigation as to how Gilead Sciences, its manufacturer, arrived at this price. Advocacy groups are also raising the problems of cost. We already know that for some of the drugs which cost as much or more that prices can’t always be justified. In this case, however, analysts and those reporting on the consequences of such pricing point to weaknesses in our health care delivery system. The drug can cure Hepatitis C with less side effects than previous ones. A whole course of treatment costs about $84,000. The number of people in the U.S. estimated to need this treatment is about 3.2-milllion. Since many of them are on Medicaid, it is feared that the costs to the States would be quite heavy. Some also fear that although those using Sovaldi would involve a small percentage of those insured by Medicare, that it could raise Medicare medical premiums by 2 to 3 points. But most interesting is the stance of the insurance companies. Since a whole course of Sovaldi is a cure, a problem arises due to the cost being born all at once over a period of weeks, not years like HIV/AIDS. Because people change jobs frequently and therefore are likely to also change medical insurance, it is feared that the insurance company which pays for the treatment would not be the insurance company that ends up benefiting from having borne the costs. The results are that Sovaldi has created an uproar in many circles—one that can be said to be a sad statement on our health care system. Yet, if we could solve some of the issues being raised, our health care delivery system would not only improve, it would be much cheaper.