Boehringer Ingelheim has inked an outcomes-based contract with pharmacy benefit manager Prime Therapeutics for its oral Type II diabetes drug, Jardiance.
The medication is designed to cut the risk of cardiovascular death in adult patients with Type II diabetes and established heart disease.
As part of Prime’s CareCentered Contracting program, the outcomes-based deal will focus on the total cost of care for Blue Cross and Blue Shield members taking Jardiance compared to the total cost of care for patients using other diabetes drugs.
“Because diabetes affects nearly 10 percent of the U.S. population, Prime actively works to find solutions that can improve our members’ health outcomes and control the overall costs of diabetes,” Dr. Jonathan Gavras, Prime’s chief medical officer, said in prepared remarks. “Establishing a CareCentered Contracting agreement for Jardiance allows us to collect and analyze important data beyond pharmacy claims. These insights help drive the greatest value from the treatment.”
“We’re pleased to enter into this outcomes-based contract with Prime, which represents an important step towards improving outcomes by lowering the total cost of care of people with diabetes,” Christine Marsh, VP of market access for Boehringer Ingelheim, added. “Diabetes and cardiovascular disease put a significant financial burden on the healthcare system, and we are confident Jardiance may improve outcomes by reducing the overall healthcare costs of people with Type II diabetes and cardiovascular disease.”
“While not the only approach we take to help ensure members are getting the value they deserve from the drugs they take, outcomes-based and/or value-based contracts are integral to our contracting strategy,” Prime CFO Alec Mahmood said. “This contract, plus several others we’ve added in recent months, demonstrate Prime’s continued commitment to align manufacturers, members, payers and providers around the goal of improving health by helping to ensure drugs work as they are intended.”
Boehringer Ingelheim is just the latest diabetes drug company to make a deal with Prime. In December, the pharmacy benefit manager entered into an outcomes-based contract for Novo Nordisk’s Victoza product.
