Clinical development and medical practice in the past decade has witnessed an increase in the number of new drugs approved for multiple indications. Yet, a “one price for one drug” rule dominates global pharmaceutical pricing approaches. A single price for a single drug (if the drug has multiple indications) creates a disconnect between price and value.
The symposium will present the most up-to-date synthesis of current thinking about the concept of Indication Based pricing (IBP). The session will discuss the rationale for IBP and what it means for patients, industry and payers. The symposium will review how various countries currently deal with the challenge of pricing medicines with multiple indication, and how these practices differ from an theoretically optimal model of IBP. The symposium will showcase interim results of the ongoing academic research on the effects of the lack of a formal IBP policy by the London School of Economics and Political Sciences. The symposium will provide a floor for a pluralistic debate about pros and cons of IBP, versus status quo, and explore practical ways of making IBP work for everyone.