Journal article
Modeling Tiered Pricing Frameworks: A Simulation Approach
Abstract
OBJECTIVE: Drug plans take different approaches to determining reimbursement prices for generic drugs. One common approach is to set the maximum reimbursement price as a percentage of the price of the interchangeable branded drug. In many countries this percentage depends on the number of generic entrants, a model we call "tiered pricing." This paper seeks to enhance understanding of how to set the tiers.
METHODS: We construct a simple model of …
Authors
Moradpour J; Zhang W; Grootendorst P; Anis AH; Hollis A
Journal
Value in Health, Vol. 26, No. 3, pp. 351–358
Publisher
Elsevier
Publication Date
March 2023
DOI
10.1016/j.jval.2022.11.003
ISSN
1098-3015