State lawmakers across the U.S. are working on legislation that aims to curb rising drug prices. So far, more than a dozen bills that would require drug companies to disclose information on how they price drugs have been proposed with the hopes that increased transparency would influence pharmaceutical companies to change their pricing practices. However, such laws are unlikely to make any significant difference, according to STAT.
Fourteen states have introduced bills that call on pharmaceutical companies to expose their drug pricing practices and justify price hikes, according to the National Conference of State Legislatures, STAT reported. These legislative efforts have spurred opposition efforts from the pharmaceutical industry trade group, with some success.
Several such bills have stalled or died, according to the report. For instance, one closely watched bill in California, which set specific requirements for drugmakers to explain and disclose their pricing system, was "effectively gutted" last week by amendments added during a hearing, the chief consultant for the Senate Health Committee, told STAT.
If these bills become laws, they could support the collection of useful information on drug pricing. However, the extent to which the bills would actually result in lower prices is debated, according to the report.
"I don't think the bills will be effective by themselves, but they do create more pressure to justify prices," said John Rother, who heads the National Coalition on Healthcare, a group of insurers and employers, among others, that oppose rising drug prices, according to the report. He added, "And I don't think industry would be trying so hard to defeat these bills if it didn't think they would make a difference."