🏥 Axios Vitals: Stressed out

Plus, price hikes for big ticket drugs | Tuesday, January 04, 2022

Open in app View in browser     Axios Vitals By Tina Reed ·Jan 04, 2022 Good morning, Vitals readers. Today's newsletter is 774 words or a 3-minute read. Situational awareness: The CDC's Advisory Committee on Immunization Practices will meet tomorrow at 1pm ET to discuss boosters for kids ages 12-15 after the FDA gave its OK on Monday.     1 big thing: America's health system under pressure Illustration: Sarah Grillo/Axios   Parts of the U.S. health system — from testing sites to emergency departments to hospitals — are quickly being overwhelmed by Omicron. Driving the news: Several states including Ohio, Illinois, Delaware and Maryland have reported record highs for COVID hospitalizations. New York's COVID hospitalizations are at their highest point since May 2020, NBC New York reported. Ohio hit new record highs for hospitalizations each day since Dec. 26, the Cleveland Plain Dealer reported Monday. At the same time, Cleveland Clinic reported more than 2,700 employees called out sick in a single day last week. Maryland has also surpassed its record, with more than 2,000 people hospitalized with COVID-19 in recent days, Gov. Larry Hogan told CNN's "State of the Union." Between the lines: The CDC has said that hospitalizations are "comparatively" low, but those hospitalizations can add up when case rates soar. The big picture: The pressure is affecting multiple points in the health care system, from the emergency departments to in-home care. "We are overwhelmed," read a joint statement from the Massachusetts College of Emergency Physicians and Massachusetts Emergency Nurses Association, the Boston Globe reported. "Our Emergency Departments are at critical capacity and things will get worse." Meanwhile, home care companies are feeling the strain, increasingly turning down patient referrals from hospitals due to workforce shortages and high patient demand, a trend that accelerated over the last month, said Wes Little, chief analytics officer of WellSky Home, which provides software for home care companies. "It's a pretty critical moment for the entire industry to make sure we can continue providing the level of care our hospital partners expect, that payers expect, with an already stretched workforce that is increasingly under pressure," Little told Axios.     2. Big-ticket drugs with higher prices in 2022 Illustration: Rae Cook/Axios   Drug companies raised the prices of 460 medications on Jan. 1, with most prices increasing 5–6% on average, Axios' Bob Herman writes. Between the lines: Several blockbuster drugs were included in this initial batch of 2022 price hikes, including: Gilead: ⬆️ 5.6% on HIV drugs Biktarvy and Descovy. Pfizer: ⬆️ 6.9% on breast cancer drug Ibrance, ⬆️ 6.9% on its Prevnar vaccine and ⬆️ 4.4% on the costly heart drugs Vyndamax and Vyndaqel. Purdue: ⬆️ 5% on opioid poster child OxyContin. Vertex: ⬆️ 4.9% on Trikafta, a blockbuster cystic fibrosis medication that has no competitors and already has a list price of more than $311,000 per year. Yes, but: These actions affect the drugs' list prices. Pharmacy benefit managers negotiate lower drug prices in the form of rebates, so drugmakers often collect lower net prices. However, list prices still matter because they are what the uninsured pay, and deductibles and coinsurance rates are often based on a drug's list price. What they're saying: "The modest increase is necessary to support investments that allow us to continue to discover new medicines and deliver those breakthroughs to the patients who need them," a Pfizer spokesperson said. When posed specific questions about Ibrance's rebates, the Pfizer spokesperson said: "We do not disclose detail at the product level." Share this story.     3. The impact of vaccines and prior infections Illustration: Sarah Grillo/Axios   A series of preliminary studies suggest that cellular immunity elicited by vaccines or prior COVID infections remains effective against the Omicron variant, Axios' Caitlin Owens writes. Why it matters: This form of immunity is associated with protection against severe disease. That means that while vaccinated people or those with prior infections are significantly less protected against Omicron infection, they're unlikely to become seriously ill. Yes, but: It's still unclear how likely the Omicron variant is in the first place to cause serious disease, even in people who haven't been vaccinated or previously infected. The bottom line: While this preliminary research has not yet been peer-reviewed, it offers encouraging news for billions.     A message from Axios Axios Pro: Deals is (almost) here     Axios Pro: Deals launches later this month. Why it matters: By dedicating more newsroom resources to cover a select few industries, Axios Pro will deliver deeper reporting and analysis you won't find anywhere else. It's by pros, for pros. Join the Axios Pro waitlist and get $100 off your subscription.     4. Elizabeth Holmes found guilty Photo illustration: Aïda Amer. Photo: Justin Sullivan/Getty Images   Elizabeth Holmes, the founder and former CEO of blood-testing company Theranos, was found guilty Monday of conspiracy and fraud against certain investors, Axios' Dan Primack writes. Why it matters: Holmes was the poster child of Silicon Valley hubris, taking "fake it till you make it" to illegal extremes. This case was specifically about what Holmes told Theranos investors, although her lies also impacted partners and patients. The details: Holmes was found guilty of four charges of wire fraud and conspiracy to commit wire fraud. The jury couldn't reach a verdict on three other counts. Holmes is expected to appeal. Each guilty verdict carries a maximum sentence of 20 years in prison, though she would likely serve them concurrently, the New York Times notes. Go deeper.     5. Catch up quick Desperate patients are shelling out thousands for a long COVID cure. Is it for real? (Mother Jones) China's "zero COVID" challenge is getting tougher. (Axios) Two years of COVID-19 in Africa: lessons for the world (Nature)     A message from Axios Axios Pro: Deals is (almost) here     Axios Pro: Deals launches later this month. Why it matters: By dedicating more newsroom resources to cover a select few industries, Axios Pro will deliver deeper reporting and analysis you won't find anywhere else. It's by pros, for pros. Join the Axios Pro waitlist and get $100 off your subscription.   📫 Did someone forward this email to you? Here's how to subscribe. Like this email style and format? Bring the strength of Smart Brevity® to your team — more effective communications, powered by Axios HQ.   Axios thanks our partners for supporting our newsletters. If you're interested in advertising, learn more here. Sponsorship has no influence on editorial content. Axios, 3100 Clarendon B‌lvd, Suite 1300, Arlington VA 22201   You received this email because you signed up for newsletters from Axios. Change your preferences or unsubscribe here.   Was this email forwarded to you? Sign up now to get Axios in your inbox.   Follow Axios on social media: