The cost of Remdesivir treatment is set at around $3,120.
Gilead Sciences, a biopharmaceutical company, revealed today its pricing strategy for remdesivir, a newly developed treatment for COVID-19. The drug received emergency use authorization from the US government in May, and while doses were initially donated by the company, as of the following month, remdesivir will be available in hospitals in what Gilead refers to as “developed countries.”
For world governments, one vial of remdesivir will be priced at $390, while private insurance companies in the US will pay $520 per vial. This implies that accessing remdesivir will be more affordable for individuals on government healthcare programs like Medicare. Gilead projects that the cost for a complete remdesivir treatment for an average US citizen with commercial insurance will amount to approximately $3,120 per hospital. Uninsured individuals will be covered under the CARES Act, while those with private insurance will have varying costs based on their provider and plan.
“Regardless of whether you are covered by private insurance, government insurance, or are uninsured with COVID-19, there will be no barriers to accessing remdesivir,” stated Gilead CEO Daniel O’Day in an interview with CNBC.
Although the Food and Drug Administration has not yet formally approved remdesivir as a COVID-19 treatment, clinical trials have indicated that severely ill patients with the disease experience a reduced recovery time when treated with the medication. Gilead predicts that treating patients with remdesivir will ultimately save hospitals approximately $12,000 per COVID-19 patient, as the duration of illness will be shorter necessitating reduced treatment.
“Remdesivir, our investigational treatment, is the first antiviral to have shown patient improvement in COVID-19 clinical trials, and there is no established pricing model for a new drug during a pandemic,” wrote O’Day in a public statement. “In all our decisions related to remdesivir, our objective has been to assist as many patients as possible promptly and responsibly.”
