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Industry Insights & Resources

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INSIGHTS

Why Does Spending on Drugs Keep Going Up?

Eric Tichy ’18, vice chair of pharmacy formulary at the Mayo Clinic, is part of a team that reports each year on trends in drug expenditures. He explains what’s driving pharmaceutical spending and what it means for patients, providers, and pharma companies.

State of Specialty Spend & Trend Report

Specialty drug management remains a top concern.  The 2023 State of Specialty Spend and Trend Report looks across both medical and pharmacy benefits to provide real-world data on the current state of specialty spend and trend, including management strategies.

drug costs

Prescription drug spending increased 8.4% to $405.9 billion in 2022, faster than the 6.8% growth in 2021.

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specialty drugs

The cost of specialty drugs 
has continued to grow increasing by 43% since 2016.

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oncology drugs

Demand for innovative drugs will drive oncology spending to approximately $370 billion by 2027, almost double the current level

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medical benefit rx

50% of specialty drugs actually run through medical benefits, not drug benefits

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pharmacy benefit management misaligned

PBM's revenue streams are often misaligned to the group, member and overall healthcare system

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gene therapy drugs

Innovative (and expensive!) gene therapy drugs are forecasted to grow by 30% annually through 2029

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One tool for all your metrics