Top 20 Biologics (2006 Ranking) and Approximate

Annual Treatment Costs

Rank Product Indication Approximate treatment Estimated U.S.
Name costs per patient per Patent Expiration
year Date
1 Enbrel Rheumatoid arthritis and various other $15,000-$20,000a 2009
inflammatory disorders
2 Aranesp Renal and cancer anemia $5,300e 2010
a
3 Rituxan Non-Hodgkins lymphoma and rheumatoid arthritis $32,500 per 8 weeks 2014
a b
4 Remicade Rheumatoid arthritis and various other $16,500 -$22,450 2014
inflammatory disorders
5 Procrit Renal and cancer anemia $5,500b 2004
a
6 Herceptin Metastatic breast cancer Up to $36,000 per 6 months 2013
b
7 Epogen Renal and cancer anemia $5,500 2012
b
8 Neulasta Neutropenia (hematological disorder) $17,500 2015
d
9 Novolin Diabetes $1,100 2005
a
10 Avastin Metastatic colorectal cancer Up to ~$28,500 per 8 weeks 2019
d
11 Lantus Diabetes $1,300 2009
b
12 Humira Rheumatoid arthritis, psoriasis etc $12,700 2016
d
13 NovoLog Diabetes $2,000 2014
f
14 Neo-recormon Renal and cancer anemia $4,500 2005
c
15 Avonex Multiple sclerosis $19,900 2003
b c
16 Rebif Multiple sclerosis $15,100 -$22,200 2005
b
17 Neupogen Neutropenia (hematological disorder) $11,000 2006
d
18 Humalog Diabetes $1,900 2013
b c
19 Betaseron Multiple sclerosis $14,650 -$21,100 2007
b
20 Pegasys Hepatitis B and C $15,700 2019
a
C.D. Monroe et al., “Kaiser Permanente’s Evaluation and Management of Biotech Drugs: Assessing, Measuring, and Affecting Use,” Health Affairs, September/October
2006, Vol. 25(5), 1340-1346.
b
Express Scripts, “2006 Drug Trend Report,” April 2007.
c
Biogen Idec, “New One-Year Pharmacoeconomic Study Shows Avonex is Cost-Effective Relative to Other Interferon Therapies for Multiple Sclerosis,” Press Release,
April 13, 2007.
d
Express Scripts, “2005 Drug Trend Report,” 2006.
e
Johnson & Johnson, “Analysis From Real-World Drug Administration Data Suggests Lower Drug Cost For PROCRIT (Epoetin Alfa) In Outpatient Setting,” Press
Release, December 11, 2006.
f
B. Reichardt, “Cost Comparison of Epoetin Alpha, Epoetin Beta and Darbepoetin Alpha for Cancer Patients with Anaemia in the Clinical Practice Setting,” Journal of
Clinical Pharmacy and Therapeutics, 31(5), 503–512.

Developed by Leigh Purvis and Lee Rucker, AARP Public Policy Institute, May 2007.
 Talking Points:
Top 20 Biologics (2006 Ranking) and Approximate
Annual Treatment Costs

 Eleven out of the 20 top-selling biologics in 2006 are either no longer under patent or
due to go off patent in the next five years, intensifying the need for a regulatory process
for considering generic versions of these products.

 In 2007, results from studies that examined potential savings from biogenerics vary
widely:

o Citizens against Government Waste estimated that the total savings from generic
biologics would be $43.2 billion from 2011-2020.1

o Pharmacy benefit manager Express Scripts predicted a potential savings from

generic biologics of $71 billion over 10 years.2

o PCMA, the trade association representing pharmacy benefit managers, estimated

that there would be $14.1 billion savings over 10 years in Medicare alone.3

 Trade associations representing both traditional pharmaceuticals and biologics have

criticized the above studies’ methodology, claiming that the studies utilized “overly
optimistic” assumptions of market share for generic biologics. They note that a more
realistic range is 5 percent to 12.5 percent.4,5

 A “scoring” document from the Congressional Budget Office should be released by

early June; its methodology is likely to be more conservative in terms of potential
generic penetration, and thus result in lower projected savings than those from the
above studies.

1
E. Ehrlich and E.L. Wright, “Biogenerics: What They Are, Why They Are Important, and Their Economic Value to
Taxpayers and Consumers,” Citizens Against Government Waste, May 2007.
2
S. Miller and J. Houts, “Potential Savings Of Biogenerics In The United States,” Express Scripts, 2007.
3
Engel & Novitt, LLP, “Potential Savings That Might be Realized By the Medicare Program From Enactment of
Legislation Such As The Access to Life-Saving Medicine Act (H.R. 6257/S. 4016) That Establishes a New cBLA
Pathway for Follow-On Biologics,” Pharmaceutical Care Management Association (PCMA), January 2007.
4
Biotechnology Industry Organization, “BIO Clarifies GPhA’s Myths With the Facts,” Press Release, May 3, 2007.
5
Howrey, LLP, “The Inflated Projections of Potential Cost Savings from Follow-On Biologics: An Analysis of the
Express Scripts and Engel & Novitt Reports,” PhRMA, May 2007.