Pink Sheet is part of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC’s registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

This copy is for your personal, non-commercial use. For high-quality copies or electronic reprints for distribution to colleagues or customers, please call +44 (0) 20 3377 3183

Printed By



Executive Summary

DURbase, the computerized utilization review system operated by Health Information Designs, Inc., is now reviewing patient records for over 10 mil. people and generating over 20,000 drug prescribing alert notices per month, according to ID's parent Value Health. Value Health President robert Particelli maintains that DURbase patient can "cut in half drug-induced hospitalizations" and can "reduce for a typical sponsor hospital admissions by 3.5%." Patricelli reported on the growth of DURbase during a Sept. 14 presentation at a seminar in New York City sponsored by the Wilkerson Group. Background information on the system notes that DURbase has grown from 1 mil. patients in 1984 to over 7 mil. in 1987 to the 10 mil. figure cited by Patricelli. The company predicts that it will provide the service to 5% of the U.S. population by 1990. HID lists 13 states among it DURbase clients, including the New York and Pennsylvania pharmaceutical assistance programs for the elderly. Pharmaceutical Card System (PCS) and the Health Care Financing Administration (HCFA) are also listed in the current client base. The extension of Medicare coverage to outpatient drugs and the government's related interest in drug utilization review provide the potential for major growth for the program, Patricelli indicated. "The real payoff [for a client] is in the avoided incidence of inpatient and outpatient care," he said. Patricelli estimated that the program has a cost-benefit ratio of 15:1 or 10:1 for a person under Medicare. Noting that DURbase generates 20,000 alerts monthly to prescribing physicians, Patricelli said that of the 50-60% of responding physicians, 70% change or discontinue the conflicting drug regimen. "This program pays for itself in the drug cost alone that it saves," Patricelli emphasized. DURbase "integrates claims information into a consolidated patient file and then passes that information over algorithms for 170 drug and disease categories using markers based on changing drug dose and diagnosis," Patricelli explained. Value Health, which purchased HID in late 1987, is looking to tie the drug utilization database into the company's Medicost preferred provider pharmacy organization. According to Patricelli, Medicost is installing terminals in pharmacies that will "permit, within a very brief period of time after point of sale, information going back to the prescribing physician to avoid conflict." Medicost is based in Southfield, Michigan. Through the first quarter of 1988, the firm said it had roughly 600 pharmacies in its PPO network ("The Pink Sheet" April 11, T&G-9). At the end of the summer, the company made a top management change, with Lee Morse replacing ex-PCS exec Ira Sharenow as president. In addition to DURbase, HID has dveloped Compass, a post-marketing surveillance data-base used by FDA and pharmaceutical companies including Hoffman-LaRoche, Sandoz, Schering-Plough, Ciba-Geigy and SmithKline. Patricelli told the cnference that through "the drug utilization review program we have logitudinal data on about 8 mil. people on drug and disease bases. We sell that to manufacturers for a whole variety of studies -- adverse drug studies for the manufacturers." Patricelli also noted that HID has begun talking to IMS about the incorporation of the DURbase material with IMS material "for pharmaceutical marketing purposes."

You may also be interested in...

Part D Discount Liability Coming Into Focus: CMS Releases Drug Cost Data

Newly released Medicare Part D data sheds light on the sales hit that branded pharmaceutical manufacturers will face when the coverage gap discount program gets under way in 2011

FDA Skin Infections Guidance Spurs Debate On Endpoint Relevance

FDA appears headed for a showdown with clinicians and the pharmaceutical industry over the proposed new clinical trial endpoints for acute bacterial skin and skin structure infections, the guidance's approach for justifying a non-inferiority margin and proposed changes in the types of patients that should be enrolled in trials

Shire Hopes To Sow Future Deals With $50M Venture Fund

Specialty drug maker Shire has quietly begun scouting deals with a brand-new $50 million venture fund, the latest of several in-house investment arms to launch with their parent company's pipelines, not profits, as the measure of their worth




Ask The Analyst

Ask the Analyst is free for subscribers.  Submit your question and one of our analysts will be in touch.

Your question has been successfully sent to the email address below and we will get back as soon as possible. my@email.address.

All fields are required.

Please make sure all fields are completed.

Please make sure you have filled out all fields

Please make sure you have filled out all fields

Please enter a valid e-mail address

Please enter a valid Phone Number

Ask your question to our analysts