According to a new survey from Premier, Inc., a health-care improvement company, drug spending has increased among health care leaders––a trend that is expected to continue during the next five years. To counteract this drain on hospital budgets, health-system leaders are employing various methods and strategies to ease the burden.
Premier surveyed health-system C-suite leaders (CEOs, COOs, CMOs, CFOs, CIOs, and CTIOs) to understand the financial and care-delivery implications of rising drug prices.
Almost all of the respondents (96%) said their hospitals’ or health systems’ overall pharmacy spend has “somewhat” or “significantly” increased for their inpatient populations. Ninety-five percent reported increased drug prices, and 91% said increased use of expensive specialty drugs has contributed the most to their organization’s inpatient pharmaceutical spend.
Providers concerned about the financial impact of rising drug costs have put various strategies in place to contain spending, the survey found. These strategies include:
Most of the respondents (95%) expected drug expenses to increase by at least 10% over the next five years, with 16% of respondents estimating that drug prices will climb by 30% or more.
The survey was conducted online from April 18 to May 22, 2017, with the results based on responses from 47 health-care C-suite leaders. The participants were selected and invited to join the panel by Premier before the survey was conducted.
Source: Premier, Inc.; June 14, 2017.