MOHW announces list of premium pricing benefit decision

Effective from Apr. 1, Symbenda pricing reduction authorized by 30% while Afinitor keeps weighted pricing

The South Korean health authority is to authorize 30-percent reimbursed pricing reduction in every dose of Eisai Korea’s Symbenda injection (bendamustine hydrochloride).

 

After a year, the injection’s pricing would be brought down again by 23.5 percent due to the expired weighted pricing benefit.

 

Novartis Korea’s Afinitor (everolimus) is to maintain the weighted pricing benefit on each dose for two years, and they would be also reduced by 23.5 percent after the benefit expiration.

 

South Korea’s Ministry of Health and Welfare (MOHW) is to revise and enforce the List of Reimbursed Drugs and Upper Limit Pricing with the said details as of Apr.

 

1.

 

◆Weighted pricing benefit expires: For a first generic, the South Korean government grants pricing of 59.5 percent of the original for a year from the date of listing.

 

The pricing goes up to 68 percent for generics by an Innovative Pharmaceutical Company, however, when the benefit ends the pricing goes back to the original pricing (benefit expiration).

 

As for a latecomer generic listed within a year the first generic is listed, the same premium pricing would be granted for a year from the point of the first generic listing.

 

But if the number of generic supplying companies is three or under, the weighted pricing would be maintained until another company launches the generic.

 

From coming June 1, total four items are to lose the premium pricing benefit.

 

The pricing for every dose of Yungjin Zopiclone tablet (eszopiclone), 1mg, 2 mg and 3 mg, would be dropped by 4.1 percent, 5.4 percent and 6 percent, respectively.

 

The pricing for Korea United Pharm’s Atmeg Combigel soft capsule (atorvastatin calcium hydrate) would be reduced by 21.2 percent from Apr.

 

1, 2022.

 

◆Weighted pricing benefit maintained or expired: Total five items would get to keep their premium pricing benefit.

 

Regardless of a year of pricing benefit ending, the government lets the drugs to maintain the premium if the number of generic suppliers is three or lower.

 

Every dose of Novartis Korea’s Afinitor tablet, Tai Guk Pharm’s Hyrosone cream (hydrocortisone) and Inist Bio Pharmaceutical’s Hydrocortisone ointment (hydrocortisone) are to maintain their pricing benefit.

 

Their premium pricing benefit would expire two years later as of Apr.

 

1, 2023.

 

The initial weighted pricing would remain unchanged for two additional years, until the fourth same-substance generic supplier comes along.

 

All doses of Afinitor tablet would respectively get 23.5-percent pricing cut, whereas Hyrosone cream and Hydrocortisone ointment would get 5.6-percent and 23.5-percent pricing cut, respectively.

 

◆Authorized pricing adjustment and benefit expiration: The government authorized the pricing reduction on two items.

 

The government-authorized pricing reduction is applied to first-in-class drugs and products with same administration route, substance and formula, when a generic is listed.

 

Although, a first-in-class drug’s pricing is brought down to 53.55 percent when the first generic is listed, the premium pricing benefit at 70 percent of the initial pricing is granted for a year.

 

Eisai Korea’s Symbenda injection is expected get authorized pricing reduction of 30 percent on both 25 mg and 0.1 g.

 

And after a year, as of Mar.

 

1, 2022, the pricing would be reduced by 23.5 percent again as the premium pricing benefit is to end by then.