{"id":198065,"date":"2025-12-22T12:58:10","date_gmt":"2025-12-22T12:58:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/198065\/"},"modified":"2025-12-22T12:58:10","modified_gmt":"2025-12-22T12:58:10","slug":"why-insurers-are-covering-a-4500-epipen-alternative-and-calling-it-a-cost-saver","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/198065\/","title":{"rendered":"Why insurers are covering a $4,500 EpiPen alternative \u2014 and calling it a cost saver"},"content":{"rendered":"<p><img decoding=\"async\" src=\"https:\/\/www.newsbeep.com\/il\/wp-content\/uploads\/2025\/12\/CCSOFOOVCRFXRMY3RZFOL2L3NI.jpg\" alt=\"FILE - In this July 8, 2016, file photo, a pharmacist holds a package of EpiPens epinephrine auto-injector, a Mylan product, in Sacramento, Calif. Insurers will sometimes choose to cover a significantly more expensive drug or device, such as AUVI-Q, even when there&#x2019;s a cheaper alternative on the shelf. (AP Photo\/Rich Pedroncelli)\" class=\"width_full\" style=\"aspect-ratio:3467 \/ 2553;width:100%\"\/><\/p>\n<p>FILE &#8211; In this July 8, 2016, file photo, a pharmacist holds a package of EpiPens epinephrine auto-injector, a Mylan product, in Sacramento, Calif. Insurers will sometimes choose to cover a significantly more expensive drug or device, such as AUVI-Q, even when there\u2019s a cheaper alternative on the shelf. (AP Photo\/Rich Pedroncelli)<\/p>\n<p class=\"article-body__image-by color_dgray f_s_xxs m-none\">Rich Pedroncelli \/ AP<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">Health insurance companies love to save money. Who doesn\u2019t? <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">But the calculations for what\u2019s cheapest don\u2019t always look the way you\u2019d expect. Insurers will sometimes choose to cover a significantly more expensive drug or device, even when there\u2019s a cheaper alternative on the shelf.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">The answer has less to do with the medication itself and more to do with the costs that come downstream. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">For example, look to a life-saving \u2014 and talking \u2014 medication, now covered by Oregon\u2019s largest insurer.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">When someone\u2019s throat is swelling shut from an allergic reaction, an epinephrine injector is the first thing you should grab. The injectors are made under different brand names; the most well-known is EpiPen. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">\u201cIf someone has anaphylaxis, epinephrine is the medication that will save their life,\u201d said Victoria Chadwick, a clinical pharmacist in pediatric and emergency medicine at Swedish First Hill Hospital in Seattle. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">Chadwick said when someone\u2019s in shock, people panic. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">\u201cNo matter how many times you\u2019ve been taught how to use a device, you are freaking out because the person in front of you \u2014 or yourself \u2014 can\u2019t breathe,\u201d said Chadwick.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">When a kid has a life-threatening allergy, their parents keep epinephrine injectors everywhere &#8211; home, school, daycare, babysitters. But not everyone is trained to use them.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">That\u2019s when an injector like AUVI-Q can make a difference under pressure. It literally talks you through the process of administering the medication \u2014 with a calm voice, step by step.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">\u201cIt might save someone\u2019s life. We can\u2019t rely on everyone always knowing the right thing to do,\u201d said Chadwick.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">The instructions could be life-saving, but they have a list price that is eye-watering. AUVI-Q is over ten times that of the generic alternative, Adrenaclick, debuting<a href=\"https:\/\/www.cbsnews.com\/news\/epipen-alternatives-generics-auvi-q-4500-dollars-list-price\/\" target=\"_blank\" rel=\"nofollow noopener\"> at a list price of $4,500 for two injectors.<\/a><\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">The current version of AUVI-Q has been available for eight years, but it wasn\u2019t commonly on the list of drugs and devices that health insurance pays for. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">That changed this year after insurers did the math. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">\u201cIt\u2019s a lot cheaper to cover even a more expensive device than it is to have someone admitted to the hospital or possibly intubated \u2014 or unfortunately pass because they don\u2019t have any device at all or the device they have wasn\u2019t used,\u201d Chadwick said.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">Hyunjee Kim, a health economist at the Center for Health Systems Effectiveness at Oregon Health &amp; Sciences University, said insurance companies looked at \u201cdownstream\u201d costs when making these decisions. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">\u201cIt can save a lot of money downstream by reducing emergency room visits or really lengthy hospitalizations,\u201d Kim said.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">According to Kim, insurers analyze their own member data and compare two groups: those who received access to the drug or device, and those who didn\u2019t. Then, they compare the total cost of care and mortality.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">If insurers don\u2019t have the data to analyze their own patient outcomes, they need good outside evidence that could be \u201crandomized control trials or a really strong, robust retrospective study that shows how the choice of certain drugs or medical devices can affect downstream costs,\u201d said Kim. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">That\u2019s part of how AUVI-Q began being covered by insurers. A recent independent retrospective study found there were 50% lower health care costs and fewer emergency visits after anaphylaxis when AUVI-Q was used during a severe allergic reaction, compared to its competitors.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">That was one factor in Aetna, the third-largest insurance company in the US, making AUVI-Q its preferred epinephrine device for severe allergies. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">Kaiser Northwest, the largest health insurer in Oregon, did the same, partially due to internal pressure from its own clinicians. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">\u201cIf doctors or hospitals strongly believe in the value of certain devices or drugs, I think that can put really huge pressure on the insurer,\u201d Kim said.<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">Plus, don\u2019t forget good old-fashioned free-market competition. <\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">\u201cYou always have to consider what other players do,\u201d Kim said. \u201cIf my competitor does cover it, I better cover it; otherwise, my member will switch.\u201d<\/p>\n<p class=\"article-body__text article-body--padding color_dgray m-none\">In other words, insurers don\u2019t want to lose in a shot-for-shot competition. And higher upfront costs can make sense if they prevent bigger bills later.<\/p>\n","protected":false},"excerpt":{"rendered":"FILE &#8211; In this July 8, 2016, file photo, a pharmacist holds a package of EpiPens epinephrine auto-injector,&hellip;\n","protected":false},"author":2,"featured_media":198066,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[33],"tags":[163,85,112197,46,482],"class_list":{"0":"post-198065","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-medication","8":"tag-health","9":"tag-il","10":"tag-insurance-health-care-health-insurance-health-healthcare","11":"tag-israel","12":"tag-medication"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/198065","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=198065"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/198065\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/198066"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=198065"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=198065"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=198065"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}