Biogen’s Alzheimer drug suffers setback as hospitals decline its use
By Shubhangi on Jul 16, 2021 | 04:36 AM IST
Biogen Inc’s drug for Alzheimer’s disease, Aduhelm, suffered another setback on Thursday as large hospitals declined to use it.
One of the
largest health-system in US, Cleveland Clinic and New York's Mount Sinai
Health System on Thursday decided to not Biogen’s drug.
"The tide turned on Friday when the inspector general
investigation was announced, and the potential allegation of irregularity in
the FDA/Biogen relationship," Dr. Sam Gandy, said director of the Mount
Sinai Center for Cognitive Health, reported Reuters.
Insurers, on the other hand, are awaiting a decision for
coverage terms from Medicare.
UnitedHealth Group, the largest private insurer offering
Medicare Advantage coverage to seniors, on Thursday said it was still reviewing
the drug and awaiting input from Medicare.
"This has some way to go before we get to real clarity.
So I wouldn't guide you to expect a very rapid decision-making on this
piece," CEO Andrew Witty said, reported Reuters.
Shares of the company fell by 8% on Thursday on account of
the decision by hospitals to not use the drug.
The Washington, D.C., Neurology Center in June said that it
would not use the drug as its efficacy, safety and cost are controversial.
The U.S. Food and Drug Administration had approved the drug
in June even after facing criticism from experts and mixed clinical trial
results.
(With inputs from Reuters)
Picture Credits: Reuters