In an effort to address the rising concerns over insulin affordability, Sanofi has made a move to offer more accessible insulin options to consumers.
Joining the initiatives of two other major insulin manufacturers in the United States, Sanofi has introduced either price caps or savings programs, aiming to reduce the cost of insulin to $35 for many patients.
Recognizing the ongoing criticism of pharmaceutical companies for escalating insulin prices, Sanofi, along with its counterparts, is taking steps to reduce the financial burden on customers with diabetes. The measures were announced in the spring and began to take effect in January
The pharmaceutical industry has faced scrutiny for years due to increases in the price of insulin, despite its relatively low production costs. The American Diabetes Association reported a 24% inflation-adjusted cost increase in medication between 2017 and 2022, with insulin spending tripling over the past decade to reach $22.3 billion in 2022.
Approximately 8.4 million Americans rely on insulin for their survival, and as many as 1 in 4 patients have been unable to afford their medication, leading to potentially life-threatening consequences.
The collective pressure from Congress, the White House, and new market entrants has prompted insulin manufacturers to reconsider their pricing strategies.
In response to the call for more affordable insulin, Sanofi has implemented a $35 monthly cap on out-of-pocket costs for Lantus, its most widely prescribed insulin in the US, for all patients with commercial insurance, starting January 1. This cap also applies to all uninsured patients.
These initiatives by Sanofi, along with similar programs introduced by other major insulin manufacturers, reduce out-of-pocket costs for patients. But they also contribute to lowering the list prices of various insulin products. Sanofi, for instance, reduced the list price of Lantus by 78% to $96 for prefilled pens and $64 for the 10-milliliter vial as of January 1.
The concerted efforts of these companies, timed strategically to coincide with changes in the Medicaid rebate program, are expected to save them hundreds of millions of dollars annually.