On: Non-profit’s $300 hepatitis C cure as effective as...

[chiefalchemist]

"Harvoni now costs about $48,000 for a 12-week course in Malaysia and $12,000 in Chile. Gilead’s previous Sovaldi treatment cost $1,000 a pill, or $84,000 over 12 weeks. Prices vary around the world and tend to be highest in the US."

I can understand slight differences, but this is disturbing.

That said, does anyone know the effects on (US) taxes if a drug company lists a cost as $X but has various programs to sell that product at some fraction of $X?

Between insurance and such, does anyone really pay full price? So is there some (unknown?) incentive for companies to inflate the list price?

[opencl → chiefalchemist]

How do you think everyone gets it below list price? The insurance companies are paying the difference. Medicaid pays 85% of list price.

[chiefalchemist → opencl]

I presume the hospitals and insurance companies negotiate "volume discounts" or similar, effective paying less (but call it whatever you want.)

For example, a hospital stay. The insurance company would pay $Y and that's accepted by the hospital - no questions asked.

On the other hand, you, without insurance, would pay the "list price" which isn't $Y but $Y+ $Z.

This type of price "confusion" only benefits those with the resources and desire to exploit it.