Median Drug Launch Prices Hit $257,000 as Access Barriers Persist, ICER and West Health Report Finds
Median net launch prices for new drugs climbed between 2022 and 2025 to $257,000, according to a new ICER and West Health report that also found persistent coverage and access barriers for patients.
The Institute for Clinical and Economic Review (ICER) and West Health released a new Launch Price and Access Report finding that median drug launch prices continue to exceed $250,000 per year, contributing to rising overall healthcare costs.
The report, which focused on net price ,which is the actual amount paid after rebates and discounts rather than the publicly listed price, found the median net launch price rose 35%, from $190,000 in 2022 to $257,000 in 2025, adjusted for inflation.1
What else did the report show?
While the median net launch price dipped by 2% between 2024 and 2025, it remained at historically high levels, with about one in four drugs introduced in 2025 carrying an annual net price exceeding $500,000, and an additional 34% launched between $200,000 and $500,000.1,2 Among newly approved drugs previously reviewed by ICER, only about one in three were priced at or below the organization’s recommended value-based benchmark, with the remainder exceeding their estimated value.2
The report also points to access challenges in the first year post-approval, with only one-third of outpatient prescriptions being filled within 30 days of an attempted fill, and a significant share of rejections tied to non-coverage, likely reflecting new-to-market blocks by payers.2
How is affordability showing up for patients?
The findings arrive alongside separate polling showing affordability concerns climbing among consumers. The West Health-Gallup Center on Healthcare found that in July 2026, nearly 40% of Americans said they were “concerned” or “very concerned” about their household’s ability to pay for needed prescription drugs in the next 12 months, up from 25% in July 2022.1 Among adults 65 and older, 36% reported the same concern, while the figure rose to 49% among those managing three or more chronic conditions.
The report notes that Medicare recipients face higher rates of coverage rejections than other payer types, compounding access challenges for a population often living on fixed incomes.2
In a conversation with Pharmaceutical Executive, Jesse Mendelsohn, SVP at Model N,
ICER leadership frames the findings as evidence of a system under strain. “This independent analysis shows that we are facing a critical moment in the US health care system,” says Sarah K. Emond, president and CEO of ICER. “Overpayment for drugs beyond their value to patients is contributing to decreased patient access. While the US has produced some of the world’s most incredible innovations, patients are still experiencing significant barriers to care. Now more than ever, it is crucial that we start working towards the goal of pairing fair pricing with fair access.”
West Health points specifically to the strain on older Americans. “Many Americans are struggling to access the prescription medications they need,” says Timothy Lash, president and chair of the West Health Policy Center. “This year’s Launch Price and Access report reveals just how serious the problem is becoming. The data shows the struggle with high launch prices is even more stark for Medicare recipients who face higher rates of coverage rejections than all other payer types. Even when Medicare beneficiaries can get access, paying more for drugs means hard tradeoffs for American seniors living on a fixed income.”
What’s next?
The report was produced under a protocol ICER announced in May 2026, using data from IPD Analytics and IQVIA, with patient engagement support from the National Health Council.1 ICER is expected to host a public webinar on October 27, 2026, at 12:00 p.m. ET to discuss the findings and their implications for affordability and access.
Foluso Agboola, ICER’s senior vice president of research, will present key takeaways ahead of a panel discussion moderated by Emond, featuring Rebecca Kirch of the National Patient Advocate Foundation, Magda Rusinowski of the Business Group on Health, and Namrata Kaur Uberoi of West Health.1
Sources
- ICER, West Health Release New Report Indicating that Median Prices of Newly Launched Drugs Continue to Exceed $250,000 ICER October 20, 2026,
https://icer.org/news-insights/press-releases/icer-west-health-release-new-report-indicating-that-median-prices-of-newly-launched-drugs-continue-to-exceed-250000/ - 2026 Launch Price and Access Report ICER, West Health October 20, 2026,
https://icer.org/wp-content/uploads/2026/10/ICER_2026_Launch-Price-and-Access-Final-Report_ForPublication-1.pdf
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