The National Health Insurance Administration (NHIA) on Feb. 22 announced that drug price adjustment for 2024, slated to take effect April, will amount to NT$ 5.53 billion under a growth rate of 2.8% in drug expenditure target (DET). Among the approximately 14,000 drugs reviewed for the price adjustment, 4,551 drug items will have prices reduced from previous NHI reimbursement levels, while 17 drug items will see their reimbursement prices increased, resulting in adjustment for a total of 4,568 drug items, the smallest number of drugs undergoing price adjustment since the implementation of the DET pilot project.

The drugs that saw the largest price adjustment were those for cardiovascular and neurological conditions as well as broad spectrum antimicrobials. NHIA Medical Review and Pharmaceutical Benefits Division Chief Huang Yu-wen said that manufacturers who cannot find financial viability under the new drug prices may submit feedback to the NHIA, noting that drug price adjustments have not been finalized. Division Chief Huang said that reimbursement price for generic drugs with the same ingredient, dosage form and price as original drugs could potentially be raised in proportion to increases to the reimbursement pricing of their originator counterparts. Additionally, drug prices will also be adjusted according to market share, potentially leading to reduced reimbursement prices if the drugs are sold to hospitals at lower price and in high volumes.

Division Chief Huang said that the NT$5.53 billion in drug expenditure savings could be directed towards new medical technologies, with the hope that by lowering spending on generic drugs, more resources could be allocated to original drugs still under patent protection. As for policies on drug price reforms and national drugs utilization, further communication and discussion with relevant organizations are still needed as legislative amendments are involved, Division Chief Huang said.

[2024-2-22/United Daily News]