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Even before With Dexcom’s Super Bowl commercial that aired Sunday night, the company faced reluctance over the accessibility of its continuous glucose monitors. This criticism continued after the ad starring Nick Jonas aired and asked why, in a world defined by the latest cutting-edge technology, people with diabetes still rely on their fingers to manage the disease. diabetes?
Patients with type 1 diabetes have started responding on Twitter. While many praised the company’s technology to help them control their blood sugar, another thread emerged: The company’s G6 CGM system was too expensive for all patients to adopt, with some contrasting with the fact that the patients are struggling to afford the product at an estimated cost of $ 5.5 million. to run a Superbowl ad.
The fact that a diabetes device company can afford to run an advertisement worth over $ 5 million as millions of people with diabetes struggle to afford their insulin is EXACTLY why advocates point out that these companies spend more on marketing than on access. # insulin4all #dexcom #super Bowl
– Justin Mendoza, MPH (@JustinDMendoza) February 2, 2021
Dexcom deflected criticism, calling the ad an educational movement aimed at improving patient access.
“Awareness is a critical part of the fight to improve access and reimbursement, so running an ad during the Super Bowl is one of the most effective ways to support and energize our continued efforts to do so. CGM accessible to anyone who can benefit, ”Dexcom said in an emailed statement when asked to respond to price reviews.
The company declined to comment on the cost of the ad.
Dexcom and Abbott Laboratories are the leading manufacturers of CGM in the rapidly growing diabetes technology market, which also includes insulin pumps and closed-loop systems formed by connecting the two devices. The space has caught the attention of investors and Wall Street analysts, as Dexcom and Insulet have been successful in recent years and Abbott’s FreeStyle Libre CGMs have repeatedly spurred the company’s growth.
The battle over pricing has been at the center of CGM competition – Abbott has strategically targeted a cheaper CGM that can reach a larger population and Dexcom recently decided to sell its products primarily in drugstores, reducing their price.
Dexcom claims that one month of supplies, which include three 10-day sensors, costs $ 60 or less for more than 70% of users with drug coverage in the United States and that a third have no charges to pay, according to the company. But these numbers do not apply to all patients.
Price estimate website GoodRx found the average retail price for three 10 days Dexcom G6 sensors cost $ 424, but $ 135 for two 14-day sensors for Abbott’s FreeStyle Free.
A spokesperson for the American Diabetes Association said patients with diabetes often face a series of barriers in accessing new diabetes technologies. For example, commercial insurance often does not cover devices for all individuals, leaving the responsibility of the patient to cover the full price if they choose to use them.
Ninety-nine percent of insurers cover Dexcom’s products, according to the company. However, the ADA spokesperson explained that although a plan covers the devices, patients are still struggling to be prescribed the device. In addition, the majority of patients who would benefit from CGMs are on Medicare, and the government insurance program has tight reimbursement requirements.
Even if a patient obtains coverage through commercial insurance or Medicare, the coverage may be inadequate and result in significant costs, according to the spokesperson. Pricing and access issues regarding CGMs and insulin pumps add to challenges the diabetes community faces even without the devices, such as rising insulin prices.
These access problems have also been exacerbated under the coronavirus pandemic. In a December survey by the ADA, 20% of patients said they had given up using the CGM or insulin pump, with half citing the costs. About 15% of patients who rely on management devices like CGMs and pumps haven’t stocked up on supplies, with 70% saying this is due to costs.
Like many pharmaceutical and medical companies, Dexcom said in its statement that the company has launched a patient assistance program to help users who lost their health insurance during the pandemic.
The ADA plans to work with Congress and the Biden administration particularly on cost and access issues for diabetes management technology, with a focus on increasing reimbursement and coverage amounts and policies that can encourage more competition in space.
A certain political movement has already started. CMS proposed a rule in October that would expand coverage of CGMs through the durable medical equipment channel; however, Dexcom and Abbott both focus on selling devices through drugstores. And California Governor Gavin Newsom is looking to expand Medicaid coverage for CGMs as part of the 2021-2022 state budget.
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