Overview

• Pfizer plans to hike the price of the COVID-19 medication Paxlovid to $1,390 per five-day treatment course as the US transitions to a commercial model, over doubling the previous government-subsidized rate of $529.
• The pharmaceutical company asserts the price tag reflects the value the drug provides by reducing COVID-19-related hospitalizations and deaths, and emphasizes that many patients may pay less due to insurance coverages and rebate programs.
• Pfizer also plans to extend a copay assistance program for eligible privately insured patients through to 2028, potentially allowing some to receive the medication for free.
• Despite these assurances, experts and patient advocates express concern that the price increase may limit patient access to the drug, particularly for uninsured individuals.
• Although the US government and Pfizer pledge to provide free Paxlovid to people on Medicare, Medicaid, and those uninsured until the end of 2024, the transition to a commercial market has raised concerns of potential healthcare cost increases for all Americans.