The foundation of Houston philanthropists John and Laura Arnold has awarded a $5.2-million grant to a Boston nonprofit that assesses prescription-drug pricing, The Wall Street Journal writes.
The commitmen,t announced Tuesday, will expand the work of the Institute of Clinical and Economic Review, which evaluates medications' cost-effectiveness and suggests benchmark prices.
The institute will use the Laura and John Arnold Foundation funds to double its staff and produce more reports recommending prices on up to 20 drugs over two years. Drug-benefit plans use the group's research in negotiating prices with pharmaceutical firms. With the grant, the Arnolds join a growing movement challenging soaring drug costs, with many insurers, hospitals, and doctors arguing that prices are often far out of line with a treatment's benefits.