High Cost California Hospitals Have Lower Mortality
Pharmaceutical Detailing
The main participants:
Pfizer: 101 million prescriptions worth $2.7 billion
Merck: 39 million prescriptions worth $356 million
Wyeth 52 million prescriptions worth $64 million
(Wyeth was acquired by Pfizer)
Abbot: 16 million prescriptions worth $32 million
Of note, different companies accounted differently for prescription value (retail vs. acquisition cost) or prescription unit (per pill or per package).
What do the drug companies get for their samples?
They offer samples for high margin medicines. In most cases, physicians could prescribe lower cost (and therefore higher value) alternatives. Once a patient starts on the high-cost brand name, it's unlikely he or she will switch to a generic.
The two brand name drugs are mentioned in the WSJ article as samples that are often provided by Pfizer and Lilly cost around $5 per day. Generic medications cost as little as 50 cents per day (Source: Drugstore.com.) There is no evidence of increased efficacy of the (expensive) brand name medications.
Many physician offices have eliminated pharmaceutical detailing altogether. Those offices prescribe more generics, and leave their patients with lower overall drug bills. This disclosure, along with disclosure of pharmaceutical and medical device company payments to physicians for consulting and other services, can help drive public policy and ultimately decrease medical trend.
The Cost of Doing Nothing
Prostate Cancer Screening: Rough Estimate of the Cost
Two studies in last week’s New England Journal Of Medicine showed disappointing results from prostate cancer screening. This is a reminder that investments in preventive care are not always a good idea. The United States study, completed in 10 centers, included 77,000 patients and showed a nonsignificant increase in death rates among those patients who were randomly assigned to screening. The European study, an amalgam of seven different studies which had different designs, included 182,000 patients, and did show a decrease in death from prostate cancer of 7 per 10,000. However, 49 men were treated for prostate cancer for each life saved – leading to an enormous amount of incontinence and impotence.
I’ll turn 50 next year – and it’s not looking like I’ll be getting my first PSA test!
The morbidity from all prostate cancer treatment is considerable – whether prostate removal (radical prostatectomy) or radiation (either external beam or implantation of radiation ‘seeds’). There is has been little written about the cost of the increased cancer diagnosis from prostate cancer screening – so I figured I would provide some “back of the envelope” guesstimates of the cost of our prostate cancer screening.
Population: 18.7 million ages 50-59 (United States)
Increased Cancer Diagnoses: 3.4% (8.2% in the screening group and 4.8% in the control group)
è Increased Cancer diagnoses: 638,542 for this population over about a decade
Distribution of Treatment (and associated cost)
Wilson, et al Cumulative cost pattern comparison of prostate cancer treatments, Cancer 109: 18-527
Note that this is Medicare data, so this understates the cost compared to a population under 65.
è Total excess cost over 10 years for this population: $27 billion
That’s not a trivial figure even in these days of massive corporate bailouts.
| | %age | Cost | # | Spend |
| Radical Prostatectomy | 55% | $ 36,888 | 350,055 | $ 12,912,828,840 |
| Cryotherapy | 3% | $ 43,108 | 18,933 | $ 816,163,764 |
| Brachytherapy | 15% | $ 35,143 | 93,684 | $ 3,292,336,812 |
| External Beam | 9% | $ 59,455 | 57,360 | $ 3,410,338,800 |
| Androgen | 13% | $ 69,244 | 85,129 | $ 5,894,672,476 |
| Watchful Wait | 5% | $ 32,135 | 33,378 | $ 1,072,602,030 |
| TOTAL INCREASED SPENDING | | | | $ 27,398,942,722 |