PROJECTS
Pharmaceutical Procurement of Targeted High Cost Medicine, New Zealand
The problem
New Zealand’s public health system pharmaceutical procurement model favors medicines that provide diffuse benefits to large population groups, disadvantaging people who need specific high-cost medicines to treat rare conditions. Recent advances in pharmaceuticals have been targeted to small population groups. Often such targeted medicines are costly but produce large benefits for some individuals compared to traditional broad-spectrum medicines.
How we helped
Castalia analyzed ways to better incorporate high-cost narrowly-targeted medicines into the overall decision framework of the pharmaceutical subsidy scheme. We also highlighted how restrictions built into the pharmaceutical benefits scheme, instead of producing savings, led to unnecessary fiscal costs. For example, we studied several high-cost medicines which were funded only for in-house hospital use in order to control costs rather than because in-hospital administration was necessary. We showed that people were being hospitalized unnecessarily just to receive the medicine.
Impact
Our report contributed to a change in the government’s approach. Government funding for pharmaceutical benefits has been substantially increased compared to recent trends, recognizing the need to improve access to innovative high costs medicines.
How can we help you?
How can we help you?
WASHINGTON, DC
+1 (202) 466-6790
1747 Pennsylvania Avenue NW, Suite 1200
United States of America
SYDNEY
+61 (2) 9231 6862
Suite 19.01, Level 19, 227 Elizabeth Street
Australia
AUCKLAND
+64 (4) 913 2800
Sinclair House, 3 Glenside Crescent
New Zealand
WELLINGTON
+64 (4) 913 2800
Level 2, 88 The Terrace
New Zealand
PARIS
+33 (0)1 85 64 10 22
3B Rue Taylor
France
BOGOTÁ
+57 (1) 508 5794
Calle 81 #11-08, Piso 5, Oficina 5-121
Colombia
Thinking for a better world.
WASHINGTON, DC
+1 (202) 466-6790
1747 Pennsylvania Avenue NW, Suite 1200
United States of America
SYDNEY
+61 (2) 9231 6862
Suite 19.01, Level 19, 227 Elizabeth Street
Australia
AUCKLAND
+64 (4) 913 2800
74D France Street, Newton South
New Zealand
WELLINGTON
+64 (4) 913 2800
Level 2, 88 The Terrace
New Zealand
PARIS
+33 (1) 73 44 26 97
6 Rue Duret
France
BOGOTÁ
+57 (1) 508 5794
Calle 81 #11-08, Piso 5, Oficina 5-127
Colombia
Thinking for a better world.