STAT+: U.S. judge blocks Colorado’s first-of-its-kind price cap on an Amgen drug
U.S. Judge Halts Colorado’s Amgen Drug Price Cap Amid Legal Challenge
A federal judge has blocked a Colorado state panel from placing a cap on the price of a blockbuster drug sold by Amgen, citing that the company is “likely to be significantly harmed.” The ruling pauses a controversial, first-in-the-nation move by the Colorado Prescription Drug Affordability Board, which was created four years ago in response to the rising cost of prescription medicines and is permitted to set upper payment limits on what most state residents will pay for selected drugs.
- A federal judge halted Colorado’s price cap on a blockbuster drug sold by Amgen, citing that the company is “likely to be significantly harmed.”
- The Colorado Prescription Drug Affordability Board was created in response to the rising cost of prescription medicines.
- Several other states have similarly established affordability boards, and Colorado has been moving more quickly than other states in choosing medicines that are deemed to be unaffordable and proceeding with decisions to create upper payment limits.
The decision centers on a blockbuster drug sold by Amgen. The Colorado Prescription Drug Affordability Board was created four years ago to address the state’s rising cost of prescription medicines. The board is permitted to set upper payment limits on what most state residents will pay for selected drugs.
How the Legal Challenge Unfolds
The ruling follows a move by the Colorado Prescription Drug Affordability Board to create upper payment limits, which a federal judge has now blocked after deciding the company is “likely to be significantly harmed.”
State vs. Industry: A National Tension
Several other states have similarly established affordability boards, although they all have somewhat different rules and criteria guiding their actions. Colorado, however, has been moving more quickly than other states in choosing medicines that are deemed to be unaffordable and proceeding with decisions to create upper payment limits.