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AMNOG: Seven Learnings for Strategic

Market Access Decisions in Germany


An IMS Consulting Group White Paper on the impact of the AMNOG
reforms based on the evidence of early benefit assessments

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Figure 1

AMNOG: Seven Learnings for Strategic


Market Access Decisions in Germany

The AMNOG process in summary

Institute for Quality


and Efficiency in
Health Care
(IQWiG)

The introduction of a mandatory benefit assessment process in early 2011 the Act

Benefit assessment

Commission
possible
Dossier

Manufacturer

Market launch

on the Reform of the Market for Medicinal Products (AMNOG) radically changed the

Report

Hearing

Federal Joint
Committee (GBA)
Benefit
assessment
(internet
publication)

Additional
benefit
Federal Joint
Committee (GBA)
Benefit
assessment
(Decision)

No additional
benefit
Manufacturers
price
(set freely)

Market launch

FRP
reference
price

3 months

Source: IMS Consulting Group

Figure 2

Reference price
not possible

6 months

No
agreement
Manufacturer

Head association
of the
SHI scheme
(GKV)

Arbitration Panel

Rebate negotiations

Agreement
Discounted
net price

Retroactive

market access environment for products with a new active ingredient in Germany. The

Not
accepted

act created new requirements for comparator-driven evidence in clinical trials and

Decision
(e.g. based
on international
prices)

Institute for
Quality
and Efficiency in
Health Care
Cost/benefit
assessment

Decision

Decision

Discounted
net price

Valid until the end of


the process

although the focus has so far been on new products, the law also covers products
already on the market, opening up the possibility of cuts to the reimbursed prices
of both new and existing products. Following publication of the first early benefit
assessments in January 2012, IMS Consulting Groups Justus Dehnen and Michael

12 months

15 months

FRP = reference price

What does additional benefit mean?

No additional benefit

significantly altered the pricing process to include discount negotiations. In addition,

Additional benefit

Schmoeller review the results and present the key learnings to date.
THE AMNOG LAW

The manufacturer then has the opportunity to

The price setting procedure for new drugs in Germany

comment on the decision at a hearing, after which

changed on 1 January 2011 with the introduction of the

the GBA will reach a final decision within a further

AMNOG law, which added a reimbursement price to the

three months.

existing manufacturer-set list price. While the list price

For new products with orphan drug status, a simplified

remains unchanged, the reimbursed price will be set at

submission process applies. The manufacturer has

the latest 12 months after a new products launch, based

only to submit an extract of the dossier and the

on discount negotiations or reference pricing following


an assessment of the clinical benefits provided by the

benefit, as the additional benefit in general is

If the drug is considered to offer no additional benefit,

If the new drug is considered to offer an additional

it will be given a reimbursement price in relation to

benefit (there are different levels of additional benefits

the price of the comparator used during the benefit

possible: major, important, slight or non-quantifiable

Additional benefit

assessment. Should that comparator belong to an

additional benefits) then a discount will be negotiated

For every new product launched in Germany (excluding

existing reference price group (festbetragsgruppe),

between the manufacturer and the lead association of

generics and hospital-only products), manufacturers

the new drug will be classified immediately into that

the German sick funds (GKV-SV) based on the reimbursed

are now required to submit a benefit dossier for

group if possible. If there is no existing reference

price of the comparator and the additional benefit

assessment to the Federal Joint Committee (GBA).

price group, the GBA will consider the possibility of

demonstrated. Any discounts will be taken from the

The GBA usually commissions the Institute for Quality

The reimbursement price of products with no

creating a new group. If a new group cannot be set

list price set by the manufacturer. The new reimbursed

and Efficiency in Health Care (IQWiG), which operates

additional benefit is set based on a reference price or

up, the reimbursement price will be discounted from

price will be effective at the latest from month 13 after

as a GBA support function, to evaluate the evidence

in price negotiations, while manufacturers of products

the list price to the price level of the comparator. The

launch, while the original manufacturer-set list price

provided by the manufacturer.

with additional benefit enter price negotiations with

reimbursement price will be effective at the latest from

stays unchanged.

The result whether the drug offers an additional

the lead association of the German sick funds

benefit or not against a GBA selected comparator

(GKV-SV). Should negotiations fail, the reimbursed

is published on the internet within three months

price is set by an arbitration panel based on

(see Figure 2).

international prices in 15 EU countries (Austria,

the beginning of the 13th month after launch.


Source: IMS Consulting Group

manufacturer (see Figure 1).

GBA will only decide on the level of additional

Copyright IMS Consulting Group 2012

Copyright IMS Consulting Group 2012

considered demonstrated by the orphan designation.


This exception applies to orphan drugs as long as
anticipated peak sales stay below the threshold of 50
million a year. If the threshold is exceeded after the
GBA decision, a complete dossier has to be submitted
by the manufacturer.

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Belgium, Czech Republic, Denmark, Finland, France,

drug development process for manufacturers to consult

Greece, Ireland, Italy, Netherlands, Portugal, Sweden,

the GBA, with approaches especially welcome before

Slovakia, Spain, UK).

starting phase III. The dossier must contain all clinical


trial data known to the manufacturer, including both
published and unpublished data for aborted and

On the basis of the evaluations to date, it is possible to draw seven early learnings on

The benefit dossier supplied by the manufacturer is

investigator-driven trials. Dossiers will be judged

the implications of AMNOG on strategic market access decisions for companies planning

critical to the benefit assessment and the negotiation

incomplete and not qualify for an additional benefit if

process. The dossier is comparable to the kind of health

clinical data is missing. The same applies to products

to launch new molecular entities in Germany.

technology assessments (HTAs) previously undertaken

that do not include a comparator and products for

by IQWiG and must be structured according to the

which no dossier is submitted.

Benefit dossier

GBAs code of practice. At its core, it must present

LEARNING 1: SELECT THE RIGHT CLINICAL


COMPARATOR

a second comparator was accepted but only with a

Choice of comparator has been shown to be the

indirect trial data limited a products achievable level of

convincing and objective rationale. However, the use of

evidence of the drugs additional benefit over the

EVALUATIONS TO DATE

appropriate comparator defined as the clinically

The first early benefit assessment was published in

single most important factor in AMNOG benefit

additional benefit. In the case of Brilique, for example,

appropriate standard of care in the indication. Where

January 2012, just over a year after the AMNOG law

assessments with head-to-head evidence against the

the GBA showed that it will accept indirect comparison

more than one such product is available, the lowest

came into effect. A total of 29 assessment procedures

comparator key for a positive assessment.

but that it considers the evidence of limited value.

price comparator should be selected. If there is no

had been initiated at the time of writing (April 2012),

drug alternative, the comparator can be a non-drug

of which results from IQWiG were available for 25. Of

IQWiG and GBA have underlined several times that they

IMPLICATION

treatment.

this number, the GBA had reached a final decision on

Additional benefit should ideally be demonstrated on

16 new drugs, four of which were not supported by

the basis of head-to-head trials with the appropriate

their manufacturers with dossiers and were therefore

comparator. There are opportunities throughout the

deemed of no additional benefit (see Figure 3).

Figure 3

AMNOG evaluations to date (1 Jan 2011 11 May 2012)

GBA procedures
(status of 11th May 2012)
Early benefit assessment procedure

Available GBA assessments


2

started
Exemption from early benefit assessment

BRILIQUE

HALAVEN

ESBRIET

RASILAMLO

GILENYA

TRAJENTA

will not consider evidence based on comparators that do


not meet their definition of the appropriate comparator.
Arguments for the use of other comparators have been
rejected and products that used the wrong comparator
ruled by the GBA to have no additional benefit. This has

Evidence based on hard endpoints is strongly


preferred by IQWiG and GBA to ensure acceptance of

negotiation with the benchmark set at the level of

an additional benefit.

comparable products in the market.

Soon after the AMNOG law was passed, and long before

Alignment with the GBA on choice of comparator is

the first benefit assessments were published, IQWiG

therefore essential to a positive outcome and price

and GBA made it clear that they would consider trial

negotiation the earlier, the better as it helps to

outcomes on four patient relevant hard endpoints:

shape appropriate trials. On the evidence of completed

mortality, morbidity, quality of life and side effects.

assessments, IQWiG and GBA fully accepted the

Benefit assessments containing these hard endpoints

manufacturers choice of comparator in just three of the

would therefore have a greater chance of demonstrating

12 completed assessments so far (Halaven, Victrelis,

an additional benefit.

Zytiga). In another five cases, the comparator was only

Surrogate parameters, on the other hand, are not

Hearing procedure started

JEVTANA

XIAPEX

accepted for a specific sub-population, but not for all

Final decision making in preparation

EDARBI

defined sub-populations (Brilique, Esbriet, Gilenya,

Total

Incivo, Jevtana). The comparator was rejected for a


LIVAZO
RAPISCAN

29

YELLOX

Restricted add.
benefit granted

No additional
benefit granted

No dossier
submitted

Source: GBA (2012): bersicht der Wirkstoffe; in: http://www.G-BA.de/informationen/nutzenbewertung


Copyright IMS Consulting Group 2012

the best chance of achieving a positive outcome.

via a reference price group or a more challenging price

TROBALT

ZYTIGA

present high quality evidence to give their products

LEARNING 2: FOCUS ON HARD ENDPOINTS

INCIVO

16

to choose the right comparators against which to

because products with no additional benefit are priced

VICTRELIS

Manufacturers should engage early with the GBA

direct implications on the achievable price in Germany

No status

Early benefit assessment procedure


completed

THE SEVEN AMNOG LEARNINGS

further four products that were consequently found to

generally defined as appropriate endpoints though they


are considered as long as their use is well justified. In
the case of Victrelis, for example, sustained virologic
response (SVR) was accepted as a surrogate endpoint for

have no additional benefit (Rasilamlo, Trajenta, Trobalt,

two reasons. First, because the percentage of patients

Xiapex).

with complications (e.g. hepatocellular carcinoma)

Alongside the right choice of comparator, manufacturers

in following years under the patients with SVR was

must also provide compelling evidence to support the

significantly lower than the percentage in patients

positioning of their product against the comparator.

without SVR. Second, the percentage of patients with

Available benefit assessments demonstrate that head-to-

SVR relapsing was very low. In effect, SVR was seen as a

head evidence against the right comparator was included

surrogate for curing subsequent complications. But while

in all positive outcomes, while indirect comparison versus

IQWiG and GBA will accept surrogate endpoints

Copyright IMS Consulting Group 2012

TM

AMNOG case study 1: Jevtana


Cabazitaxele (JEVTANA)
In combination with prednisone or prednisolone treatment of patients with hormone refractory metastatic
prostate cancer previously treated with a docetaxel-containing regimen

Indication
MNF dossier

Patient population

Grown up patients with mHRPC having been treated with docetaxel

Comparator

Best supportive care

Patient population(s)

Best supportive care population (no further docetaxel therapy


possible)

LEARNING 4: PREPARE WITHOUT RELYING


ON QUALITY OF LIFE OUTCOMES

In the meantime, manufacturers face a dilemma over

Quality of life outcomes are rarely considered in

submissions. Once more, the best advice is to open an

the benefit assessments of IQWiG and in the final

early dialogue with the GBA on generating acceptable

decisions of the GBA.

quality of life outcomes for inclusion on dossiers. It

Despite public pronouncements to the contrary, there


is little evidence that patient-oriented quality of life
Docetaxel-retherapy population

measures hold as much weight in IQWiG/GBA assessments


as hard endpoints related to mortality, morbidity and side

IQWiG assessment

Comparator choice

Docetaxel in combination with prednisone or


prednisolone

(Additional) benefit

Indicator for important additional benefit for patients >65


Weak indicator for not quantifiable additional benefit for patients
<65 years
Indicator for slight additional benefit

No additional benefit

No additional benefit

evidence as inferior to hard endpoints.

level of additional benefit granted to a product.

A further consideration for manufacturers is the way

In eight of 12 assessed benefit dossiers, IQWiG and GBA

in which IQWiG and GBA use hard endpoints in their

have defined additional or new sub-populations to those

assessments. In the evaluation, they select a limited

presented by manufacturers. In such cases, evidence

number of high quality hard endpoints, ignoring the

designed to support a different sub-population has been

rest gathered by the manufacturer. As with the choice

deemed insufficient to warrant an additional benefit in

of comparator, this suggests that manufacturers consult

the newly defined GBA sub-population. As a result, the

early with the GBA on the choice of relevant endpoints

overall additional benefit for the product as a whole,

in clinical trials. This will give the manufacturer the

defined as a combination of the additional benefit in

best opportunity to gather and develop evidence that

each patient segment, has been diluted and found to

meets the IQWiG and GBAs rigorous standards and

be lower than that claimed by the manufacturer.

the best chance of securing an additional benefit.

The message for manufacturers is once again to plan

IMPLICATION

early and engage with the GBA on the definition of

of additional benefit on a limited number of hard


endpoints and/or well justified and accepted
surrogate endpoints developed in conjunction
with IQWiG and the GBA, rather than presenting a
broader range of endpoints that might be judged
irrelevant.

LEARNING 3: ANTICIPATE PATIENT


SEGMENTATION BY IQWiG/GBA

to the eventual acceptance by IQWiG and GBA of


methodologies and standards that have proven their
use in practice.

IMPLICATION
Manufacturers are advised in the current
environment not to be over-reliant on quality of life
endpoints in their benefit assessments but to work

in most instances it was found statistically insignificant

with IQWiG/GBA on the longer term development of

or the methodology was considered inappropriate to

acceptable methodologies and standards.

practice relates to IQWiG/GBAs failure to map out and

manufacturer, with the effect of reducing the overall

might be a long term investment but it could lead

life data was taken into account on a case-by-case basis,

The apparent contradiction between theory and

in cases like Victrelis, they still consider this type of

Manufacturers should focus their demonstration

basis of quality of life related evidence. While quality of

demonstrate an additional benefit on this endpoint.

Source: GBA (2012): Nutzenbewertungsverfahren zum Wirkstoff Cabazitaxel:


http://www.g-ba.de/informationen/nutzenbewertung/10/

effects. Of the total AMNOG assessments to date that have


demonstrated additional benefit, none has done so on the

(Additional) benefit

GBA decision

Palliative treatment with dxamethason, prednisone, prednisolone or


methylprednisolone as well as best supportive care

how to leverage quality of life endpoints in their

communicate a viable methodology for producing quality


of life outcomes. Unlike the other three endpoint types
identified by IQWiG/GBA, in the absence of a viable
methodology, quality of life remains a work in progress.
It has yet to be seen whether IQWiG and GBA will address

LEARNING 5: ASSUME THE GBA WILL


NOT REFERENCE INTERNATIONAL CLINICAL
BENEFIT AND ACCESS DECISIONS
The AMNOG process operates relatively
independently of international price comparisons
and reimbursement decisions, despite the inclusion
of a reference price solution for products with an

this gap proactively by presenting guidelines, or whether

additional benefit that fail in price negotiations.

they will gradually accept manufacturer-submitted

A comparison of products assessed under AMNOG that

methodologies.

have already undergone HTA evaluations in other

AMNOG case study 2: Brilique


Ticagrelor (BRILIQUE)
Brilique is indicated for the prevention of atherothrombotic events in adult patients with Acute Coronary Syndromes
(unstable angina, non ST elevation Myocardial Infarction [NSTEMI] or ST elevation Myocardial Infarction [STEMI])

Indication

MNF dossier

the patient sub-populations for their product. For each


potential sub-population, manufacturers should then
identify the appropriate comparator (Learning 1) and

Patient population

Total ACS population

Comparator

Clopidogrel + ASA

Patient population(s)

Unstable Angina and MI w/o


ST segment elevation
(IA/NSTEMI)

MI with ST elevation
(STEMI) in patients on
medication

MI with STEMI in patients with


previous Percutaneous Coronary
Intervention (PCI)

MI with STEMI in
patients with previous Coronary Artery
Bypass Graft (CABG)

Comparator choice

Clopidogrel + ASA

Clopidogrel + ASA

Prasugrel + ASA

ASA monotherapy

(Additional) benefit

Evidence for important


additional benefit

No additional benefit

No additional benefit

No additional
benefit

No additional benefit

No additional benefit
Exception: Weak indicator for not
quantifiable additional benefit for
(1) patients >75 inappropriate for
Prasugrel (2) patients with transitoric ischemic attacks/stroke

No additional
benefit

the patient relevant endpoints (Learning 2) to obtain


the best chance of demonstrating an additional benefit
for their product in development.

IQWiG
assessment

IMPLICATION
Manufacturers should identify and consider all
potential sub-populations in a risk assessment prior
to the submission of the dossier ideally in the

Completed assessments indicate that IQWiG and GBA

planning phase of the clinical trials in order to

have often segmented the patient population into

anticipate segmentation by IQWiG and the GBA after

different sub-populations to those defined by the

submission of the dossier.


Copyright IMS Consulting Group 2012

GBA
decision

(Additional) benefit

Evidence for important


additional benefit

Source: GBA (2012): Nutzenbewertungsverfahren zum Wirkstoff Ticagrelor:


http://www.g-ba.de/informationen/nutzenbewertung/18/
Copyright IMS Consulting Group 2012

TM

Differences in IQWiG and GBA decisions on level of additional benefit (N = 16)

The AMNOG law and the GBA Verfahrensordnung define

owing to IQWiG/GBAs unique methodologies. For

the general methodology for benefit assessments by

Brilique, the European Medicines Agency (EMA) granted

IQWiG and the GBA (see Figure 4). The main elements

marketing authorization for the total acute coronary

of that methodological standard include the definition

syndrome (ACS) patient population and accepted the

of the level of benefit (major, important, slight, not

comparison of ticagrelor with clopidogrel demonstrated

quantifiable, no additional benefit or smaller benefit

in one trial. Brilique had already been assessed in

than comparator) and the definition of the likelihood

England, Scotland, Wales and Denmark before the

of additional benefit (evidence, indicator, weak

benefit assessment in Germany and was granted full

indicator). The clarity of these definitions increases the

access and reimbursement also for the total ACS

transparency and, in theory at least, the predictability of

patient population.

the IQWiG evaluation and GBA decision making process

In Germany, however, IQWiG and GBA defined four sub-

(Lesson 5).

populations and for each of these identified appropriate

In contrast, specific details on how trial outcomes

comparators. In its final decision, the GBA accepted

per endpoint translate into the level of additional

evidence for an important additional benefit in just

benefit have not been defined. The first proposal on

one sub-population, while in the other three it found

the quantitative definition of the different levels of

no additional benefit (with the exception of a weak

additional benefit was provided by IQWiG in the first

Source: GBA (2012): bersicht der Wirkstoffe; in: http://www.G-BA.de/informationen/nutzenbewertung

indicator for a non-quantifiable additional benefit in a

benefit assessment on Brilique. It defined for each of


the main endpoints different thresholds for confidence

IMPLICATION

between the two and the IQWiG recommendation

segment of one of the four sub-populations).


In further examples of the AMNOG process not

In the absence of quantitative definitions of benefit

features prominently in the GBAs decision making.

intervals and relative risks, and linked expected clinical


outcomes to one of the levels of additional benefit.

levels, the most reliable source of information on

In total, 6 out of 12 completed GBA decisions did not

following other EMA/health technology assesments in

The GBA did not accept or comment on IQWiGs proposal,

the AMNOG process is the back catalogue of publicly

follow exactly the IQWiG recommendations (see Figure

Europe, Gilenya, Halaven, Incivo, Jevtana, Victrelis and

instead stating that the issue would have to be resolved

available benefit assessments, which can help

6). For example, IQWiG recommended in its report

Zytiga were all granted full access and reimbursement

by an expert panel which has not yet been convened.

manufacturers stratify risk and estimate the potential

on Brilique to split the patient population into four

in France, but only limited or no additional benefit in

It remains uncertain whether the GBA is willing to

outcomes of benefit assessments.

different sub-populations, from which only one received

Germany.
In all cases, IQWiG and the GBA explained their

define quantitative thresholds for each of the additional

positions on the basis of the new AMNOG legal

benefit levels in each endpoint. On the one hand,

LEARNING 7: NEGOTIATE WITH THE GBA


AFTER PUBLICATION OF IQWiGs RESULTS

framework in Germany. Further, by adopting a high

it would improve transparency and predictability for

The GBA represents the highest authority in the

benefit for a further sub-population.

degree of transparency and sticking to its clearly

manufacturers; on the other, it would burden IQWiG and

benefits assessment process and has demonstrated


its independence by not always following

Additionally, the GBA does not always follow IQWiG in

defined procedures, standards and rules, Germany has

the GBA with another layer of procedure.

been able to go its own way and justify its deviation

Figure 4

recommendations from the IQWiG; this opens

from other European markets.

IMPLICATION
For manufacturers, the best predictors of benefit
assessments are AMNOGs own defined procedures,
as German pricing and reimbursement decisions do
not automatically follow the label, HTA or market
access decisions of other European countries.

LEARNING 6: CLARIFY WHAT IS MEANT BY


ADDITIONAL BENEFIT
The general methodologies outlined in the legal
documentation and implemented in the first
AMNOG benefit assessments remain in use, though
specific guidance on different benefit levels has
yet to be defined.

Figure 5

countries shows a high level of deviation partly

71%
63%

IQwiG
GBA

19%
13%

AMNOG definition of level and quality of


additional benefit

Level of additional
benefit
Major additional benefit
Important additional
benefit
Slight additional benefit

Quality of additional
benefit
Evidence for additional
benefit
Indicator for additional
benefit
Weak indicator for
additional benefit

Not quantifiable
additional benefit
No additional benefit
Smaller benefit than
comparator

Source: GBA (2012): Verfahrensordnung http://www.


g-ba.de/downloads/62-492-598/VerfO_2012-01-19.pdf
Copyright IMS Consulting Group 2012

7% 6%
major additional benefit

important additional
benefit

14%

7%
slight additional
benefit

up opportunities for manufacturers to present


additional arguments in the hearing before the
GBA takes its final decision.
IQWiG is exclusively commissioned by the GBA and has a
very specific mandate to draw clinical conclusions on the
basis of scientific evidence. The GBA, on the other hand,
has a more pragmatic approach that applies clinical
data in actual medical practice hence the inclusion of
payers, providers and patients on the GBA.

not quantifiable
additional benefit

no additional benefit

a label of additional benefit. In its decision, the GBA


granted evidence for an important additional benefit
and a weak indicator for a non-quantifiable additional

its definition of sub-populations. In the case of Victrelis,


the GBA did not follow IQWiGs advice to split the
patient population into four different sub-populations,
accepting only the distinction of two sub-populations.
For manufacturers, this could well mean that there
is scope beyond the initial submission of evidence
to shape and influence IQWiG and GBA thinking with
supporting evidence. While the dossier will always be
the bedrock of the submission, manufacturers should
make the most of these additional opportunities.

Just as the AMNOG process as a whole has not always

IMPLICATION

followed European precedents, so the GBA has shown a

IQWiGs recommendations are not final and

degree of self-confidence in rejecting some of IQWiGs

manufacturers should see the hearing after the

recommendations on the level and likelihood of

Institutes assessment as a key step in discussing

(additional) benefit for a new product (see Figure 5). At

the extent to which IQWiGs scientific view is

the same time, there is a certain degree of dependency

applicable when treating patients in the real world.

Copyright IMS Consulting Group 2012

TM

CONCLUSION
Although the pricing and market access environment
has become more regulated and more evidence-based

Figure 6

Differences in IQWiG and GBA decisions on


definition of patient population and extent
of additional benefit

since the introduction of AMNOG, Germany remains one


of the worlds most attractive markets for innovative
new products. By mitigating the risks and learning from
their experience of the new process, pharmaceutical
manufacturers can continue to launch their innovative
new products successfully in Germany.

GBA follows
IQWiG
(n=10)

GBA did not


follow IQWiG
(n=6)

It is still very early in the evolution of the AMNOG reforms

Figure 7

AMNOG: Seven learnings for market access (summary)

Learning

Commentary

Implication

1: S ELECT THE RIGHT


clinical COMPARATOR

Choice of comparator has been shown to be


the single most important factor in AMNOG
benefit assessments with head-to-head
evidence against the comparator key for a
positive assessment

Manufacturers should engage early with the GBA


to choose the right comparators against which
to present high quality evidence to give their
products the best chance of achieving a positive
outcome

2: F OCUS ON HARD
ENDPOINTS

Evidence based on hard endpoints is strongly


preferred by IQWiG and GBA to ensure
acceptance of an additional benefit

Manufacturers should focus their demonstration


of additional benefit on a limited number of
hard endpoints and/or well justified surrogate
endpoints developed in conjunction with IQWiG
and the GBA, rather than presenting a broader
range of endpoints that might be judged
irrelevant

3: A NTICIPATE PATIENT
SEGMENTATION BY
IQWiG/GBA

Completed assessments indicate that IQWiG


and GBA have often segmented the patient
population into different sub-populations
to those defined by the manufacturer, with
the effect of reducing the overall level of
additional benefit granted to a product

Manufacturers should identify and consider all


potential sub-populations in a risk assessment
prior to the submission of the dossier ideally
in the planning phase of the clinical trials in
order to anticipate segmentation by IQWiG and
the GBA after submission of the dossier

4: P
 REPARE WITHOUT
RELYING ON QUALITY
OF LIFE OUTCOMES

Quality of life outcomes are rarely considered


in the benefit assessments of IQWiG and in
the final decisions of the GBA

Manufacturers are advised in the current


environment not to be over-reliant on quality
of life endpoints in their benefit assessments
but to work with IQWiG/GBA on the longer term
development of acceptable methodologies and
standards

5: ASSUME THE GBA


WILL NOT REFERENCE
INTERNATIONAL
CLINICAL BENEFIT AND
ACCESS DECISIONS

The AMNOG process operates relatively


independently of international price
comparisons and reimbursement decisions,
despite the inclusion of a reference price
solution for products with an additional
benefit that fail in price negotiations

For manufacturers, the best predictors


of benefit assessments are AMNOGs own
defined procedures, as German pricing and
reimbursement decisions do not automatically
follow the label, HTA or market access decisions
of other European countries

6: CLARIFY WHAT IS
MEANT BY ADDITIONAL
BENEFIT

The general methodologies outlined in the


legal documentation and implemented in the
first AMNOG benefit assessments remain in
use, though specific guidance on different
benefit levels has yet to be defined

In the absence of quantitative definitions


of benefit levels, the most reliable source
of information on the AMNOG process is the
back catalogue of publicly available benefit
assessments, which can help manufacturers
stratify risk and estimate the potential outcomes
of benefit assessments

7: N
 EGOTIATE WITH
THE GBA AFTER
PUBLICATION OF
IQWiGs RESULTS

The GBA represents the highest authority


in the benefits assessment process and has
demonstrated its independence by not always
following recommendations from the IQWiG;
this opens up opportunities for manufacturers
to present additional arguments in the hearing
before the GBA takes its final decision

IQWiGs recommendations are not final and


manufacturers should see the hearing after
the Institutes assessment as a key step in
discussing the extent to which IQWiGs scientific
view is applicable when treating patients in the
real world

Other definition of the


patient population
(n=3)
Other definition of the
extent of additional
benefit (n=3)

to reach robust conclusions. But on the evidence of


benefit assessments to date, it is possible to draw some
preliminary learnings for the pharmaceutical industry to
action as it works with the new process to secure the best

Source: GBA (2012): bersicht der Wirkstoffe; in:


http://www.G-BA.de/informationen/nutzenbewertung

outcomes for its new products (see Figure 7).


Several common themes emerge. First and foremost, it

International launch sequences

is vital to engage constructively with the GBA at the

One recurring feature of the new process has been its

earliest possible opportunity ideally before starting

unrelenting focus on cost savings sometimes at odds

phase III clinicals. This affords the greatest opportunity

with international HTA and market access decisions.

to choose the appropriate comparator in the right patient

As a consequence, the evidence requirements in more

populations with the endpoints of most interest to IQWiG

independent-minded Germany might not be suitable

and the GBA. Second, be prepared to switch courses as

for a global pricing and market access strategy, and

the AMNOG process has thrown up a few surprises. The

manufacturers might want to rethink their global

GBA in particular has demonstrated a self-confidence

launch strategy. Tailoring trial designs to meet specific

and independence of mind by apparently ignoring such

requirements defined by IQWiG and the GBA might well

factors as quality of life data and such institutions

be counter-productive in other countries. Manufacturers

as EMA, international HTA agencies and even the

should therefore think through the entire commercial

recommendations of IQWiG. Finally, given that AMNOG is

opportunity across regions USA included when

working to its own unique standards and procedures, the

considering the merits of a GBA-driven approach

best guide to what it might do in the future is what it

internationally.

has done in the past.

In the case of Trajenta, for example, Boehringer

But many questions remain unanswered. The first step

Ingelheim (BI) and Lilly decided not to launch their oral

of the new process has been completed for selected new

anti-diabetic Trajenta in Germany because of the GBAs

products and the GBAs initial decisions will form the

choice of comparator. The manufacturers were concerned

basis of phase two price negotiations and arbitration.

that the therapeutic benefit of Trajenta would not be

However, that takes longer and there is so far little

properly demonstrated, resulting in a low price that other

evidence on the final outcomes for the first wave of

countries could reference. The Trajenta case demonstrates

products going through the negotiations. As a result, cuts

how AMNOG is already changing the way manufacturers

to reimbursement prices remain a distinct possibility and

have to consider their launch strategy in Germany and

would seem to be in line with AMNOGs overall objectives.

how that is having ramifications internationally.

REFERENCES
Federal Joint Committee (G-BA). Frhe Nutzenbewertung (35 a SGB V), in:
http://www.g-ba.de/informationen/nutzenbewertung/
Institute for Quality and Efficacy in the Health care system (IQWiG). Projekte, in:
https://www.iqwig.de/projekte-ergebnisse.915.html

10

Source: IMS Consulting Group

Copyright IMS Consulting Group 2012

Copyright IMS Consulting Group 2012

11

TM

IMS Consulting Group is the worlds leading,


specialized advisor on critical strategic and
commercial issues in life sciences.

If you have questions about this


white paper or related issues you
would like to explore, please contact
our Pricing and Market Access group.

With a global presence and local expertise


across five continents, we know the pulse of
the market anticipating change, understanding
its impact and resolving the challenges it brings.
From pricing and market access and marketing
issues to product, portfolio and geographic
investment decisions our life sciences
consulting teams offer insights that drive
results. All backed by the strongest evidence
and analytics.

GERMANY
Justus Dehnen, Engagement Manager
jdehnen@imscg.com
+49 89 457912 6418

Additional information is available at


http://www.imsconsultinggroup.com

Michael Schmoeller, Consultant


mschmoeller@imscg.com
+49 89 457912 6416
UK
Katia Berg, Principal
kberg@imscg.com
+44 203 075 4000
EDITOR
Neil Turner, Senior Manager
nturner@imscg.com
+44 1223 273430

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