IVI advancing value-based prices for health care
Both Medicare and provider-based organizations want to form a program of value-based pricing for pharmaceuticals.
“(The pharmaceutical industry needs to) shift to a model that focuses on value and outcomes delivered,” Joseph Jimenez, from Novartis, said.
However, this leads to the problem of defining value outcomes that are not necessarily able to be measured from an economic standpoint.
As a solution, some organizations have "value frameworks" as a guide to lead to higher-value treatments, but they lack complete value measurement, integration of value assessments into marketplace decision-making and completely leave out the perspectives of value measurement from the stakeholders’ point of view.
The Innovation and Value Initiative (IVI) from Precision Health Economics, a research consulting firm, is a multi-stakeholder scientific initiative to better analyze how value is measured and rewarded in the health care industry. Through IVI, researchers will conduct scientific studies and consider current public policies in order to assess value "in the real world."
The goal of IVI is to develop new scientific methods and approaches to pricing new technologies while promoting best practices in value assessment so that a solid foundation can be formed in building up value-based health care pricing.
Organizations in this story
Novartis Corporate Communications 230 Park Avenue, 21st Floor NY, NY - 10169
Precision for Medicine 2 Bethesda Metro Center Suite 850 Bethesda, MD - 20814