Merck Loses First Vioxx Case
A jury in Texas last month awarded $253 million to the widow of a man who died after taking Vioxx (rofecoxib). The plaintiff charged that the drug maker Merck & Co. failed to warn physicians about the danger posed by Vioxx, that the drug was improperly designed, and that the company's negligence caused the death of the plaintiff's husband, Robert Ernst. Merck executives plan to appeal the verdict on the grounds that the jury was allowed to hear testimony that was both irrelevant and not based on reliable science, the company said. “While we are disappointed with the verdict, this decision should be put in its appropriate context,” Kenneth C. Frazier, Merck's senior vice president and general counsel, said in a statement. “This is the first of many trials. Each case has a different set of facts. Regardless of the outcome in this single case, the fact remains that plaintiffs have a significant legal burden in proving causation.” The award included $24 million in actual damages and $229 million in punitive damages. But the punitive damages could be reduced to about $2 million, according to Merck, since punitive damages are limited under Texas law.
Chronic Care Pilots
Medicare is launching chronic care pilot projects this year aimed at improving care for people with heart failure and diabetes. The program, called Medicare Health Support, will provide free, voluntary services to about 160,000 Medicare fee-for-service beneficiaries for 3 years. Participating patients will get access to nurse coaches; reminders about preventive care needs; prescription drug counseling; home visits and intensive care management, when needed; and home monitoring equipment to track health status. At press time, eight areas had been selected for the program: Maryland, Oklahoma, Western Pennsylvania, Mississippi, Northwest Georgia, Chicago, Central Florida, and the District of Columbia. “Because early intervention is tremendously important in treating chronic illnesses, we are providing beneficiaries additional tools to help them manage their health more effectively and avoid preventable complications,” Health and Human Services Secretary Mike Leavitt said in a statement.
Uninsured Demographics
Although they make up only 15% of the U.S. population, Hispanics comprise nearly 29% of the uninsured in that population, according to the 2004 Medical Expenditure Panel Survey (MEPS) findings from the Agency for Healthcare Research and Quality. More than one in three Hispanics is uninsured, and 25% are covered by public health insurance. In addition, Hispanics constitute 36% of all uninsured children under 18. “These results confirm the urgency of identifying effective policies to expand access to care for all Americans, particularly Hispanics,” said AHRQ Director Carolyn M. Clancy, M.D. In other findings, white non-Hispanics made up 65% of the U.S. population and almost 50% of the uninsured. About one in seven whites was uninsured, and 10% had only public insurance. Black non-Hispanics made up almost 13% of the population and almost 15% of the uninsured. Young adults aged 19–24 years were at greatest risk of being uninsured, with 35% having no insurance coverage for the first part of 2004. The report noted the lack of coverage was worst for young Hispanic adults, with 56% uninsured.
When the Price Isn't Right
Brand name pharmaceutical prices continue to increase, far exceeding the rate of general inflation in 2005, according to an AARP “Rx Watchdog Report.” More than one-half of the drugs in the sample, 110 of 195, had increases in manufacturer price during the period from Dec. 31, 2004, through March 31, 2005. Taking into account price increases in recent years, the report estimated that a typical older American (who takes three prescription drugs) is likely to have experienced an increase, on average, in the cost of therapy from the year 2000 through March 31, 2005, of $866.16 if the drugs are brand name products used to treat chronic conditions and the full price increases were passed along to the consumer. “We are very disappointed that brand name manufacturers have failed to keep their price increases in line with inflation,” said AARP's CEO William Novelli, who promised to educate older consumers on how best to find affordable drugs that suit their needs.
Meth Crisis Continues
The methamphetamine crisis has meant major problems for law enforcement and child welfare workers, according to two new surveys by the National Association of Counties. The first survey, which included responses from 500 local law enforcement agencies, found that 87% reported an increase in methamphetamine-related arrests beginning 3 years ago. More than half the counties said methamphetamine was their largest drug problem, with an estimated one-fifth of jail inmates incarcerated because of meth-related crimes. In the second survey, which involved child welfare officials in more than 300 counties, 40% of respondents reported increased out-of-home placements because of meth addiction in the past year, and nearly two-thirds of officials agreed that the nature of the meth-using parent increased the difficulty of family reunification. “As our surveys confirmed, methamphetamine abuse is a national drug crisis that requires national leadership,” Valerie Brown, chair of the association's membership committee, said in testimony to a House subcommittee. “A comprehensive and intergovernmental approach is needed to combat the methamphetamine epidemic.”