Characterizing UncertaintyDeterministic sensitivity and scenario analyses should be provided with the submitted BIA to inform decision makers of the sensitivity of the model to specific assumptions. Probabilistic sensitivity analyses may be considered but are not required.ValidationThe validity of the model should be assessed and documented.Input and Data Source RecommendationsEstimation of the Current Size of the MarketWhen estimating the size of the market, analysts may develop their models based on either population (epidemiological) data or claims data, or in some instances, both. Population data is best used for a novel drug entering a new market, while claims data is usually used for a novel drug entering a more mature market. For transparency and completeness, claims data-based models should provide an estimate of the number of active beneficiaries based on the number of claims for both the Reference and New Drug scenarios.Selection of Relevant ComparatorsThe comparators used in the budget impact model should reflect drug-based treatment strategies used to treat the same indication(s) as the new drug. For transparency, the costs for concomitant medicines should be listed separately in the model. Non-drug alternatives are excluded from the base-case analysis but should be mentioned in the report and can be included in the scenario analysis if they are expected to have a significant impact. The relevant treatment strategies identified should align with those used in the economic evaluation submitted with the BIA, if possible.Forecasting of the Market Under the Reference ScenarioAnalysts should use published forecasts to anticipate changes in the market. The forecasts should take expected changes to the market over the time horizon into consideration using available data. These changes include, but are not limited to, anticipated market growth and market distribution of the treatment strategies expected to be available.Forecasting of the Market Under the New Drug ScenarioTo forecast changes under the New Drug Scenario, analysts should use verifiable market intelligence on how the reimbursement of the new drug will affect the market. Markets where the new drug is currently reimbursed should be consulted to inform the forecasting process. Analysts should estimate the anticipated growth of the market, the expected market share of the new drug, the effect of any restrictions to access to the new drug on the market size or market share, and how the new drug will affect the market share of all relevant treatment strategies. These factors should be considered for the entire time horizon and data supporting these estimates should be provided and explained.Estimating Drug CostsTo estimate the cost of each treatment strategy, analysts should obtain reimbursement prices from the best available source(s), such as the drug plan formulary, public drug plan databases, and wholesaler pricing information. Additionally, analysts should include markups, dispensing fees, and patient co-payments according to the drug plan’s specifications. When comparing the cost per day of different treatment strategies, it is important to consider therapeutic equivalencies (i.e., the frequency of drug administration) and drug wastage (i.e., the number of drug units dispensed per prescription, rather than consumed). The BIA should address the impact of compliance and persistence with therapy on the cost of treatments, as required, based on the best available evidence. Analysts should consider whether any additional assumptions used in the accompanying economic evaluation are applicable for estimating drug costs.
Characterizing Uncertainty<br><br>Deterministic sensitivity and scenario analyses should be provided with the submitted BIA to inform decision makers of the sensitivity of the model to specific assumptions. Probabilistic sensitivity analyses may be considered but are not required.<br><br>Validation<br><br>The validity of the model should be assessed and documented.<br><br>Input and Data Source Recommendations<br>Estimation of the Current Size of the Market<br><br>When estimating the size of the market, analysts may develop their models based on either population (epidemiological) data or claims data, or in some instances, both. Population data is best used for a novel drug entering a new market, while claims data is usually used for a novel drug entering a more mature market. For transparency and completeness, claims data-based models should provide an estimate of the number of active beneficiaries based on the number of claims for both the Reference and New Drug scenarios.<br><br>Selection of Relevant Comparators<br><br>The comparators used in the budget impact model should reflect drug-based treatment strategies used to treat the same indication(s) as the new drug. For transparency, the costs for concomitant medicines should be listed separately in the model. Non-drug alternatives are excluded from the base-case analysis but should be mentioned in the report and can be included in the scenario analysis if they are expected to have a significant impact. The relevant treatment strategies identified should align with those used in the economic evaluation submitted with the BIA, if possible.<br><br>Forecasting of the Market Under the Reference Scenario<br><br>Analysts should use published forecasts to anticipate changes in the market. The forecasts should take expected changes to the market over the time horizon into consideration using available data. These changes include, but are not limited to, anticipated market growth and market distribution of the treatment strategies expected to be available.<br><br>Forecasting of the Market Under the New Drug Scenario<br><br>To forecast changes under the New Drug Scenario, analysts should use verifiable market intelligence on how the reimbursement of the new drug will affect the market. Markets where the new drug is currently reimbursed should be consulted to inform the forecasting process. Analysts should estimate the anticipated growth of the market, the expected market share of the new drug, the effect of any restrictions to access to the new drug on the market size or market share, and how the new drug will affect the market share of all relevant treatment strategies. These factors should be considered for the entire time horizon and data supporting these estimates should be provided and explained.<br><br>Estimating Drug Costs<br><br>To estimate the cost of each treatment strategy, analysts should obtain reimbursement prices from the best available source(s), such as the drug plan formulary, public drug plan databases, and wholesaler pricing information. Additionally, analysts should include markups, dispensing fees, and patient co-payments according to the drug plan’s specifications. When comparing the cost per day of different treatment strategies, it is important to consider therapeutic equivalencies (i.e., the frequency of drug administration) and drug wastage (i.e., the number of drug units dispensed per prescription, rather than consumed). The BIA should address the impact of compliance and persistence with therapy on the cost of treatments, as required, based on the best available evidence. Analysts should consider whether any additional assumptions used in the accompanying economic evaluation are applicable for estimating drug costs.
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Characterizing UncertaintyDeterministic sensitivity and scenario analyses should be provided with the submitted BIA to inform decision makers of the sensitivity of the model to specific assumptions. Probabilistic sensitivity analyses may be considered but are not required.ValidationThe validity of the model should be assessed and documented.Input and Data Source RecommendationsEstimation of the Current Size of the MarketWhen estimating the size of the market, analysts may develop their models based on either population (epidemiological) data or claims data, or in some instances, both. Population data is best used for a novel drug entering a new market, while claims data is usually used for a novel drug entering a more mature market. For transparency and completeness, claims data-based models should provide an estimate of the number of active beneficiaries based on the number of claims for both the Reference and New Drug scenarios.Selection of Relevant ComparatorsThe comparators used in the budget impact model should reflect drug-based treatment strategies used to treat the same indication(s) as the new drug. For transparency, the costs for concomitant medicines should be listed separately in the model. Non-drug alternatives are excluded from the base-case analysis but should be mentioned in the report and can be included in the scenario analysis if they are expected to have a significant impact. The relevant treatment strategies identified should align with those used in the economic evaluation submitted with the BIA, if possible.Forecasting of the Market Under the Reference ScenarioAnalysts should use published forecasts to anticipate changes in the market. The forecasts should take expected changes to the market over the time horizon into consideration using available data. These changes include, but are not limited to, anticipated market growth and market distribution of the treatment strategies expected to be available.Forecasting of the Market Under the New Drug ScenarioTo forecast changes under the New Drug Scenario, analysts should use verifiable market intelligence on how the reimbursement of the new drug will affect the market. Markets where the new drug is currently reimbursed should be consulted to inform the forecasting process. Analysts should estimate the anticipated growth of the market, the expected market share of the new drug, the effect of any restrictions to access to the new drug on the market size or market share, and how the new drug will affect the market share of all relevant treatment strategies. These factors should be considered for the entire time horizon and data supporting these estimates should be provided and explained.Estimating Drug CostsTo estimate the cost of each treatment strategy, analysts should obtain reimbursement prices from the best available source(s), such as the drug plan formulary, public drug plan databases, and wholesaler pricing information. Additionally, analysts should include markups, dispensing fees, and patient co-payments according to the drug plan’s specifications. When comparing the cost per day of different treatment strategies, it is important to consider therapeutic equivalencies (i.e., the frequency of drug administration) and drug wastage (i.e., the number of drug units dispensed per prescription, rather than consumed). The BIA should address the impact of compliance and persistence with therapy on the cost of treatments, as required, based on the best available evidence. Analysts should consider whether any additional assumptions used in the accompanying economic evaluation are applicable for estimating drug costs.<br>
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