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Managing ACA Expectations

This article was originally published in RPM Report

Executive Summary

Express Scripts CEO says prescription drug utilization will be flat in the first year of Medicaid expansion and insurance exchanges. With millions of Americans expected to get health coverage in 2014, can that projection be true?

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Flat Drug Utilization Trend May Continue Into 2014 Despite ACA Expansion – Express Scripts

CEO George Paz cites the “teetering” economy and unemployment as reasons to expect utilization will stay flat and doesn’t anticipate the company will see a substantial sales bump from the Affordable Care Act next year.

Biopharma Sizes Up The Affordable Care Act: Buyer’s Remorse Or Winner’s Curse?

Three years into the ACA, the biopharma industry takes stock of its near-term wins and losses as the law’s critical expanded insurance coverage takes effect beginning in 2014. Pharma still isn’t sure whether the increase in covered lives from the exchanges will boost prescription sales enough to offset the rebates, taxes, and fees it agreed to pay out, or what kind of patients constitute this new market.

Medicaid Expansion: Glass Half Full for Biopharma

Most health reform watchers have been tracking state votes on Medicaid expansion as a sort of scorecard on whether Obama Administration is winning or losing in health care reform. Push back from the states is making news now, but for biopharma sponsors, even a glass half full is a positive—and the long-term outlook is even brighter.

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