Medicare Costs For Johnson & Johnson's Psoriasis Drug Stelara Double When Obtained at Pharmacies
Portfolio Pulse from Vandana Singh
Medicare and its beneficiaries are paying significantly more for Johnson & Johnson's (NYSE:JNJ) psoriasis drug Stelara when obtained through pharmacies rather than administered in physician offices. The cost discrepancy is due to differing payment determination methods between Medicare Part B and Part D. Recent changes in coverage have led to higher out-of-pocket costs for enrollees, with Medicare expenditures for Stelara increasing almost tenfold from 2016 to 2023.
August 12, 2024 | 2:54 pm
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Johnson & Johnson's psoriasis drug Stelara is costing Medicare and its beneficiaries significantly more when obtained through pharmacies rather than administered in physician offices. This is due to differing payment determination methods between Medicare Part B and Part D, leading to higher out-of-pocket costs for enrollees and a substantial increase in Medicare expenditures.
The news highlights a significant cost discrepancy for JNJ's Stelara under different Medicare parts, leading to higher out-of-pocket costs for enrollees and increased Medicare expenditures. This could negatively impact JNJ's stock in the short term due to potential backlash and regulatory scrutiny.
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IMPORTANCE 90
RELEVANCE 100