Prime Therapeutics signs outcomes-based contract with Novo Nordisk for type 2 diabetes drug Victoza (liraglutide).
As the rate of diabetes continues to escalate in the United States, health care payers are looking for solutions to help manage the cost of treating this serious disease while helping to ensure quality health care for their members. This has led Prime Therapeutics LLC, a pharmacy benefit manager (PBM), and Novo Nordisk to establish a value-based contract for the type 2 diabetes drug, Victoza, as part of Prime’s CareCentered Contract program.
Since signing its first outcomes-based contract in 2010, CareCentered Contracting has served as one arm of a multi-pronged strategy to help control costs for Prime’s clients, employers, and members. The new contract with Novo Nordisk for Victoza aligns to Prime’s strategy by focusing on controlling overall costs for members. Prime will evaluate the effectiveness of Victoza, and together with Novo Nordisk, will reimburse commercial clients if certain measures are not achieved.
Type 2 diabetes affects more than 28 million people in the United States (9.4 percent of the population). The diagnosis is most common in adults and occurs when the body no longer effectively uses or produces enough of the blood sugar-regulating hormone, insulin, or is no longer properly able to use the insulin the body produces.
“Through this contract, we saw an opportunity to bring together our depth of diabetes knowledge with Prime’s strong analytics capabilities to help people with diabetes,” said Todd Hobbs, M.D., U.S. chief medical officer at Novo Nordisk. “Improving patient care is a key focus for both organizations and we’re hopeful that over time our learnings lead to helping all of our customers better understand what works and what doesn’t.”
(Source: Prime Therapeutics LLC)
