Assessing the Economic Impact of Biosimilars in the U.S.: A cost analysis of Infliximab, Trastuzumab, and Rituximab
Author(s)
Seungjae Yi, MA, Minyoung Jang, MS, Taek Kwon, BA;
Celltrion, Incheon, Korea, Republic of
Celltrion, Incheon, Korea, Republic of
OBJECTIVES: This study quantifies the savings made from the adoption of biosimilars in three major biologic molecules: infliximab, trastuzumab, and rituximab. By comparing projected costs assuming exclusive use of original biologics with the actual expenditures incorporating biosimilar usage, this analysis underlines the financial impact of biosimilars on healthcare spending over an eight-year period.
METHODS: A cross-comparative analysis was performed based on annual expenditures from 2015 to 2023. Two measures for each analyzed year were assessed: (1) projected cost assuming only originator biologics were used, "Would Have Spent," and (2) actual expenditure reflecting biosimilar adoption, "Actual Spend." Annual and cumulative cost savings were then calculated, which yields an overview of the economic value that has been generated with biosimilars in these biologic markets. Publicly available Average Sales Price (ASP) data was used in this analysis.
RESULTS: The results indicate that substantial healthcare savings have taken place due to the uptake of biosimilars. In 2015, actual and projected spending were roughly equal. However, as biosimilars became more established, actual spending began to systematically fall below projections. The projection was $137 billion versus an actual spending of $93 billion reflecting a considerable savings of $44 billion in cumulative expenditure between 2015 and 2023.Looking across the cumulative data from year to year, a rise can be seen in cost savings with increased biosimilar adoption. Considering the continuous price increase that would have occurred without the presence of biosimilars alongside inflation rates, results represent the minimum savings.
CONCLUSIONS: This study underlines substantial and important economic benefits of biosimilars. Actual spending that is significantly lower than projected costs underline the role of biosimilars in easing the financial pressures on healthcare systems and underscores the need to accelerate biosimilar adoption in the US to maximize cost savings.
METHODS: A cross-comparative analysis was performed based on annual expenditures from 2015 to 2023. Two measures for each analyzed year were assessed: (1) projected cost assuming only originator biologics were used, "Would Have Spent," and (2) actual expenditure reflecting biosimilar adoption, "Actual Spend." Annual and cumulative cost savings were then calculated, which yields an overview of the economic value that has been generated with biosimilars in these biologic markets. Publicly available Average Sales Price (ASP) data was used in this analysis.
RESULTS: The results indicate that substantial healthcare savings have taken place due to the uptake of biosimilars. In 2015, actual and projected spending were roughly equal. However, as biosimilars became more established, actual spending began to systematically fall below projections. The projection was $137 billion versus an actual spending of $93 billion reflecting a considerable savings of $44 billion in cumulative expenditure between 2015 and 2023.Looking across the cumulative data from year to year, a rise can be seen in cost savings with increased biosimilar adoption. Considering the continuous price increase that would have occurred without the presence of biosimilars alongside inflation rates, results represent the minimum savings.
CONCLUSIONS: This study underlines substantial and important economic benefits of biosimilars. Actual spending that is significantly lower than projected costs underline the role of biosimilars in easing the financial pressures on healthcare systems and underscores the need to accelerate biosimilar adoption in the US to maximize cost savings.
Conference/Value in Health Info
2025-05, ISPOR 2025, Montréal, Quebec, CA
Value in Health, Volume 28, Issue S1
Code
EE513
Topic
Economic Evaluation
Topic Subcategory
Budget Impact Analysis, Value of Information
Disease
STA: Biologics & Biosimilars