Novo Nordisk to cut insulin prices by up to 75% in 2024
Danish pharmaceutical company Novo Nordisk has announced that it will cut its prices for insulin products by up to 75%, beginning in January 2024.
The price of Novolog and Novolog Mix 70/30 will be cut by 75%, with Novolin and Levemir seeing a 65% reduction in price.
Novo’s cuts will take effect around the same time that the American Rescue Plan will be introduced. The timing means Novo will then be ineligible to pay rebates to the US Government, which would have had to have been paid under the Plan if it had kept its prices the same.
A Nova Nordisk spokesperson stated: “This [price cut plan] was designed to enhance Novo Nordisk’s current offerings. The goal is for our collective programmes to help more and more people better afford their insulin. This is why, in addition to lowering our prices on certain insulins in January 2024, we will continue our other affordability offerings, including human and analogue insulins at Walmart and CVS, our My$99Insulin program, Immediate Supply program, Patient Assistance Program and our many co-pay savings cards.”
Edwin Park, a research professor at the Georgetown University McCourt School of Public Policy, commented: “Lifting the cap was always intended to produce savings by either collecting those rebates in excess of the cap or discouraging manufacturers from further price increases, or encouraging them to lower their price increases to avoid this negative rebate liability.”