Paying For Gene Therapy: Medicaid Will Be ‘Canary In Coal Mine’

Harvard Pilgrim's Michael Sherman and Cigna's Steve Miller advise gene therapy developers to consider the burden of high cost treatments on Medicaid programs when setting list prices.

Yellow canary. Freedom bird

Medicaid programs will be on the front lines in the struggle to afford high-cost gene therapies and treatment developers should be mindful of how pricing decisions will play out in the states, warned Harvard Pilgrim Health Care chief medical officer Michael Sherman.

“I believe as we see more of these coming to market, we will see more pressure, not just with commercial payers but with state Medicaid plans, which are the canary in the coal mines because they have to operate within a fixed budget,” Sherman

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