The Institute for Clinical and Economic Review (ICER) published a white paper to inform public and policy maker discussion of pricing novel vaccines and drug therapies for COVID-19. Specifically, the paper analyzes potential advantages and disadvantages of six alternative approaches: the status quo of unrestricted pricing, in which private companies develop vaccines and treatments, are rewarded with patent rights, and are allowed to decide how much to charge for the resulting products within a monopoly pricing paradigm; cost-recovery pricing, in which private companies develop vaccines and treatments, are rewarded with patent rights, but government and/or private insurers use an analysis of the cost of development and production to set a ceiling price; value-based pricing, in which private companies develop vaccines and treatments and are rewarded with patent rights, but government and/or private insurers use some form of cost-benefit analysis to set a ceiling price based on the degree of added benefit for patients and society; monetary prizes, in which government establishes a specific prize amount to incentivize discovery, with the first private company to discover a successful vaccine being awarded the prize; compulsory licensing, in which, in exchange for royalties paid to the innovator, the government permits others to make, use, sell or import patented pharmaceuticals without the patent-holder's permission, an approach that includes the possibility of exercising "march-in" rights; and advance market commitments and subscription models designed to incentivize development by subsidizing R&D costs through a commitment by the funder to a future purchase price or by agreeing to a price for treatment in a way that provides a guaranteed minimum return on investment. ICER will also host a three-part colloquium series of 90-minute webinars with policy makers and experts to debate alternative pricing policy approaches for current and future treatments for COVID-19.

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