States Struggle with Exorbitant Hemophilia Treatment Costs

University of Medicine and Dentistry of New Jersey alumnus Kenneth D. Nahum is a hematologist and oncologist working at Regional Cancer Care Associates (RCCA) in Howell, New Jersey. Since 1988, Kenneth D. Nahum has cared for thousands of patients with blood disorders, including those suffering from hemophilia.

The costs of treating hemophilia are high, with coagulating drugs common in hemophilia treatment regimens ranking among the most expensive. Treatment for one boy with hemophilia cost state Medicaid some $21 million in taxpayer money. However, the hemophilia market is very profitable for manufacturers, raking in about $4.6 billion for just 20,000 patients. 

States have borne the burden of negotiating the costs of hemophilia treatment. Some such as Washington and Oregon have opted to require hemophilia patients to only receive blood factor from federally designated hemophilia treatment centers. By doing so, state Medicaid programs can avail of the 340B federal drug-discount program. Meanwhile, states such as California have determined that negotiating rebates with drug manufacturers is the easiest, most cost-effective of curbing costs. Regardless, states are open with their struggles in searching for options, which are limited.