Novo Nordisk Cuts Prices of Insulin Pens and Vials by Up to 75%
Just weeks after a similar announcement by Eli Lilly, Novo Nordisk revealed plans to cut prices of its insulin pens and vials by up to 75%.
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- By January 2024, Novo Nordisk plans to cut the prices of insulin pens and vials by up to 75%. The company is echoing strategies reported by Eli Lilly earlier this month, attempting to widen access to affordable diabetes medication.
According to the press release, the company plans to cut costs on Levemir, Novolin, NovoLog, and NovoLog Mix 70/30. In particular, Novo plans to cut the list prices of NovoLog and NovoLog Mix 70/30 by 75%. The vials of these medications will now be priced at $72.34, while the FlexPen will be priced at $139.71.
Levemir and Novolin will have slightly smaller price cuts, with each medication cost reduced by 65%. Vials of Levemir and Novolin are expected to cost $107.85 and $48.20, respectively. Similarly, the FlexPen Levemir and Novolin will drop to $161.77 and $91.09, respectively.
Beyond cutting list prices of brand-name insulin, the company also intends to lower the costs of its unbranded medications, insulin aspart and insulin aspart protamine/insulin aspart.
"We have been working to develop a sustainable path forward that balances patient affordability, market dynamics, and evolving policy changes," said Steve Albers, senior vice president, Market Access & Public Affairs at Novo Nordisk, Inc, in the press release. "Novo Nordisk remains committed to ensuring patients living with diabetes can afford our insulins, a responsibility we take seriously."
Comparatively, Eli Lilly announced on March 1, 2023, that it would lower insulin prices by 70% and cap out-of-pocket costs to $35 per month. Lilly plans to implement these prices by the end of 2023 — not much earlier than Novo Nordisk intends to make its changes.
Both companies emphasize their commitment to affordable access to diabetes medication; however, the price reductions are not an act of selfless dedication alone. Many believe these price reductions are promoted by guidelines in the Inflation Reduction Act of 2022, which caps monthly out-of-pocket insulin payments at $35 for Medicare patients.
While the act only covers Medicare patients — requiring companies to keep price changes lower than inflation rates — it has failed to account for the financial struggles experienced by patients with private insurance. In a way, these organization-wide price drops may fill the gaps left behind by the Inflation Reduction Act.
With some of the highest insulin costs globally, many people in the US cannot adhere to medication regimens due to high costs. Regardless of the reason, reducing the price of insulin in the United States will be critical for equitable access to healthcare.
