Cancer treatment has been transformed by therapeutic innovation based on improved understanding of disease biology and advances in precision medicine and immuno-oncology. This exciting time of advancement has achieved unprecedented improvements in survival and reduced side effects compared to chemotherapy but also introduced skyrocketing cost challenges.
“General Motors spends more on health care than steel.” — Gary Cowger, former president of General Motors
Market Dynamics Faced by Employers
As the “ultimate” payers, employers have taken note of these advances and the cost challenges. On one hand, they wish to provide benefits and coverage to their employees that enable timely access to high-quality cancer care. On the other hand, they need to control rising health care costs to remain profitable. Jumbo employers and employer coalitions are becoming actively involved in finding ways to manage their oncology spend and no longer trust pharmacy benefit managers (PBMs) and insurance companies to manage it for them. Remember 86% of large employers and 56% of mid-sized employers are self-insured with health care costs coming directly off their bottom line. (Kaiser Family Foundation, 2019)
Our trend report Employer Influence in Oncology: Why Employers Should Be Part of Your Promotional Mix explores these market dynamics, providing a fundamental understanding of the employer landscape.
One key finding of the report is that employers expect that direct relationships with biopharmaceutical manufacturers will become very important in the near future. During our interviews, one employer had this to say:
On biopharmaceutical manufacturers:
“I think there’ll be a greater probability of direct contracting relationships and data analytics to support a more meaningful model.” — Employer respondent
With employers ready to meet biopharmaceutical manufacturers at the table, where does a manufacturer start? What opportunities are best for promotional efforts? Read the report to find out.
For more information, contact Chris Tiefel at 215-489-9000 x141 or chris.tiefel@aventriahealth.com.
Making a difference in patient care by helping patients, providers, and payers collaborate on shared priorities
— Chris Tiefel, Senior Account Executive at Aventria Health Group, and David Guy, SVP, Oncology and Specialty Market Programs
The views and opinions expressed are those of the authors and do not imply endorsement by Aventria Health Group.
Source: Kaiser Family Foundation. Employer Health Benefits 2019 Annual Survey. http://files.kff.org/attachment/Report-Employer-Health-Benefits-Annual-Survey-2019. Accessed October 14, 2019.