How would you address this issue if you were: a. The director of a state Medicaid program?

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How would you address this issue if you were:

a. The director of a state Medicaid program?

b. The CEO of a safety-net hospital?

c. The CEO of a pharmaceutical firm that manufactures one of the drugs?

Hepatitis C affects about 3.5 million Americans, though up to half may not realize they have it (Nall 2018). The number of potential hepatitis C patients out there should push down drug costs. However, current treatment regimens are very costly and, frequently, unaffordable.
A major breakthrough occurred in 2014 with the approval of directacting antiviral medications. The price of these drugs remains high but may vary based on the pharmacy that fills a prescription, the insurance plan that covers it, and the patient’s medical history. Nevertheless, Nall (2018) found the following average medication costs for hepatitis C treatments:
• Ledipasvir-sofosbuvir (Harvoni): The average wholesale cost for Harvoni is $1,125 per pill. An 8-week treatment course is $63,000 while a 12-week treatment course is $94,500 and a 24-week one is $189,000.
• Simeprevir (Olysio): The average wholesale cost for the medication is $790 per 150 milligrams (mg) capsule. A 28-day supply costs $22,120, and a 12-week supply costs $66,360. Sometimes a doctor will prescribe this along with the medication sofosbuvir, where a 12-week course of treatment for both medications totals about $150,000.
• Sofosbuvir (Sovaldi): This medication costs $1,000 per 400 mg pill. The total cost for a 12-week course is around $84,000, and doctors will typically prescribe it with other medicines, such as simeprevir.
• Ombitasvir-paritaprevir-ritonavir and dasabuvir (Viekira Pak): The cost for this medication is $83,319 for a 12-week treatment course. The cost for a 24-week treatment course is $166,638.
Although the drugs can cost up to $100,000 for a 12-week treatment, they provide a good return on investment and most insurers consider them cost-effective, since they are priced reasonably in terms of their cost per quality-adjusted life year (QALY) for almost all patients (Hiltzik 2016).

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