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KMID : 1146320130010010061
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Journal of Health Technology Assessment
2013 Volume.1 No. 1 p.61 ~ p.68
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A Review of Price-Volume Agreement in Foreign Countries
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Kim Hye-Lin
Lee Jae-Hyun
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Abstract
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Objectives: Price-volume agreement (PVA) was introduced as a part of the Drug Expenditure Rationalization Plan in Korea in 2006. However, issues with the practicality of PVA were raised by both the government and the industry. As a result, the NHIS announced last year of its plan to revise the current practice of PVA. The objective of this study was to understand PVA in other countries and draw implication to Korea.
Methods: To study general pharmaceutical pricing and reimbursement systems of other countries, academic papers, reports, government documents, and related official websites were searched and reviewed. Information provided by KRPIA member companies was also included in this study as a means of understanding the present condition in each country.
Results: Most countries utilize PVA as a form of financial-based risk sharing system while PVA in Korea was being used as a tool to control the drug prices. PVA was based on mutual agreement between the government and the industry in the studied countries. Only certain drugs were subject to PVA while generics, rare disease drugs, and innovative drugs were exempted.
Conclusion: Many different forms and methods were being used as a form of PVA in other countries. There already exist multiple ways including PVA to control drug prices in Korea. More discussions and studies should be conducted on the effective use and improvement of the current PVA.
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KEYWORD
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Price-volume agreement, PVA, Payback, Price cut, Reimbursement price control
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