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Medical Innovation Prize Fund Act (view source)
Revision as of 15:51, 22 February 2016
, 15:51, 22 February 2016no edit summary
Besides providing incentives to invest in R&D in new medicines, and allowing the government to target research in a specified area, this act also encourages parties to invest in major breakthrough drugs versus only improving drugs in existing classes. The MIPF would reward innovations based on incremental benefit, so the largest prizes would be given to first-in-class drugs. The value of the prizes will be determined based on the number of patients, incremental therapeutic benefits of the innovation, the pertinence of the innovation, and the improved efficiency of the manufacturing process for the drug.
One problem with this proposed Act is that it does not provide a formula or a description on how the Board will determine the amount of the prize payments. Companies are only given rough guidelines on how their innovation will be judged, so they don't know what to expect when taking on a project - this is a problem that needs to remedied for the prize fund system to be effective.
