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From $300 to $30 a vial: How Civica plans to produce lower-cost insulin


Following President Joe Biden's call to "cap the cost of insulin at $35 a month so everyone can afford it," Civica on Thursday announced plans to launch lower-cost versions of insulin in the United States by 2024—an effort that includes partners from almost every corner of the diabetes industry, including Intermountain Healthcare, Kaiser Permanente, and the Blue Cross Blue Shield (BCBS) Association.

The executive's guide to pharmacy issues

Civica plans to manufacture and distribute lower-cost insulin

During his State of the Union Address, President Biden criticized drug companies for high insulin prices. "Imagine what it's like to look at your child who needs insulin and have no idea how you're going to pay for it," he said. "Let's cap the cost of insulin at $35 a month so everyone can afford it." 

Currently, although more than 8 million Americans rely on insulin to live, according to the BCBS Association, "one in four insulin users report having to skip doses or take less than prescribed amounts due to the high cost of the medicine."

To improve access to the life-saving medicine, Civica plans to produce three generic versions of insulin that "will be available to people with diabetes at significantly lower prices than insulins currently on the market," once U.S. health regulators grant approval.

The company's generic insulins—which will be available in the form of vials and pre-filled pens—are biosimilars to Sanofi SA's Lantus, Eli Lilly's Humalog, and Novo Nordisk's Novolog.

However, the maximum price for all three of Civica's versions will not exceed $30 per vial or $55 for a box of five pen cartridges. In contrast, wholesale prices from other manufacturers average around $300 per vial and $500 for five pens, according to Civica.

"Diabetes is arguably America's most expensive chronic condition, and it is heartbreaking that millions of people are rationing their care and putting their lives at risk because they can no longer afford insulin," said Dan Liljenquist, board chair of Civica and the innovator behind Civica's nonprofit business model. "Through mission-driven partnerships, we are choosing to create a new market reality where no one is forced to ration essential diabetes medications," he said. 

Civica partners with BCBS, Intermountain Healthcare, Kaiser, and more

In its efforts to produce and distribute lower-cost insulin by 2024, Civica is collaborating with partners from almost every corner of the diabetes industry, including Arnold Ventures, Beyond Type 1, the BCBS Association and 12 independent BCBS companies, Gary and Mary West Foundation, Glen Tullman Family Foundation, Intermountain Healthcare, JDRF, Kaiser Permanente, Peterson Center on Healthcare, Providence, The Leona M. and Harry B. Helmsley Charitable Trust, Transcarent, and Trinity Health, Business Wire reports.

In particular, the BCBS partnerships signal the potential to shift coverage away from higher-cost insulins to the generic versions Civica plans to introduce, Forbes reports.

"This is an important milestone in our continued partnership with Civica as we advance our shared goal of bringing lower-cost prescription medication directly to consumers," said Kim Keck, CEO of the BCBS Association, which represents 34 BCBS companies that say they provide coverage for one in three Americans.

"Access to affordable insulin can be the difference between life and death for diabetics—and we're proud to be a part of Civica's effort to ensure that millions of Americans have access to the medicine they need at a price they can afford," Keck added. "When we come together, we can make health care more affordable." (Japsen, Forbes, 3/3; Khandekar/Satija, Reuters, 3/3; Business Wire, 3/3)


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