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Canada’s Orphan Drug Regulatory
Framework & panCanadian Access to Rare
Disease Drugs
Update and Opportunities
Durhane Wong-Rieger, PhD
President & CEO
Nov 11, 2014
Why Life-cycle Approach for Orphan Drugs?
What is known about the potential/actual benefits and harms
associated with an orphan drug may be highly uncertain at time of
regulatory application and will change over time.
¤  Orphan drugs treat rare, severe, life-threatening, debilitating
conditions that have few or no effective treatments
¤  Compelling benefits > risks
¤  Market approval may be granted despite uncertainty due to:
¤  Small, short clinical trials (e.g., Phase II, non-RCTs, cross-over)
¤  Limited outcome measures, surrogate, biomarkers,
nonvalidated PROs
¤  Need for continuous regulator oversight beginning at early
development stage with medical plausibility and encompassing
a greater ability to define post-approval information gathering.
2
Life-Cycle Management
3
Traditional HTA Limits Orphan Drug Access
•  HTA OFTEN same as for common drugs
•  RCTs = small samples, short timeframes, surrogate markers
•  High $ development, small population = High $/patient
•  Cost-utility: $/QALY below theoretical $50k threshold
•  Small # = Low budget impact
•  HTA recommends “no” to most drugs for rare disorders
•  Private drugs plans usually cover (but some do not)
•  Public drug plans usually adopt HTA recommendations
•  HTA limits access in some European countries
•  Half of all orphan drugs evaluated have been rejected
by one or more HTA bodies in the UK. 
•  Where Cost-Effectiveness NOT norm, reimbursement
varies; best = 80% to 100% funding
4
HTA RELATED CHALLENGES
Equity of access to patients as a result of HTA
outcomes: challenge to manufacturers and patients
Australia
(PBAC)
Canada
(CADTH)
England
(NICE/AGNSS)
France
(HAS)
Scotland
(SMC)
ivacaftor
(Kalydeco)
Indicated for
cystic fibrosis
with G551D
mutation
Recommended
(March 2014)
Restricted
(March 2013)
Funded by the NHS
in England, after
review by the
Clinical Priorities
Advisory Group
(2012)
Recommended
(Nov. 2012)
Not
recommended
(Jan 2013) but
available via the
Orphan Drug
Fund
eculizumab
(Soliris)
Indicated for
paroxysmal
nocturnal
hemoglobinuria
Not recommended
(March 2009), but
eligible for the Life
Savings Drug
Program (from
2010)
Not
recommended
(Feb. 2010)
(Not reviewed by
NICE)
Recommended
(Oct. 2007)
Not
recommended
(July 2011)
idursulfase
(Elaprase)
Indicated for
Hunter syndrome
(MPS II)
Not recommended
(Nov. 2007), but
eligible for the Life
Savings Drug
Program (2012)
Not
recommended
(Dec. 2007)
(Not reviewed by
NICE)
Recommended
(March 2007)
Not
recommended
(July 2007)
Balancing Public Good, Innovation,
Effectiveness, Risk & Access
1) Available health care resources should be used in a way that
improves the health of populations
2) Patient needs exceed limited healthcare budgets
3) System incentives should encourage innovations for improving
health care
4) New technologies lack evidence of effectiveness and safety
required by traditional assessment models
5) Lack of evidence of effectiveness ≠ evidence of lack of
effectiveness
6) Prior to real-world use, clinical trials findings are best guide to
optimal use and funding decisions
7) Collecting data on real-world use can reduce uncertainty and
increase the probability of making a ‘good’ funding decision
(30 Sep 2014): Health Ministers’ Press
Release: Orphan drugs for rare diseases
¤  Orphan drugs are used to treat life-threatening, chronic
and seriously debilitating rare diseases
¤  … And are very costly
¤  Growth rates for orphan drug market expected to double
overall prescription drug market by 2018
¤  Establish a working group led by Alberta, British Columbia
and Ontario on how to manage the cost of rare disease
drug therapies with evidence-based approaches.
CORD Response to Health Ministers’
Orphan Drugs Announcement
¤  Need for bold decisive action, NOT timid steps covering old ground
¤  Federal government has introduced “state-of-the art” Orphan
Drug Regulatory Framework based on international best practices
¤  PT Health Ministers position not much different than 2006 NPS
¤  Working Group should build on current practices: managed entry/exit
criteria, coverage with evidence building, and risk-sharing
¤  Ontario Drugs for Rare Diseases
¤  Cancer Care Ontario Evidence Building Programs
¤  Personalized (targeted) therapies
¤  Re-focus: Saving lives and reducing disabilities rather than just short-
term costs
¤  Goal: provide access as soon as possible to reduce deaths and
disabillities
MANAGED ACCESS SCHEMES aka
COVERAGE WITH EVIDENCE DEVELOPMENT
AED
Coverage as part
of a study
Health Financial
CED
Fund/Fund with
restrictions
Do not fundFund interim
Coverage decision-making options
Coverage linked to
outcomes guarantee
MAIN TYPES OF MA/CED SCHEMES
Coverage as part
of a study
Health Financial
MAS/CED
Coverage linked to
outcomes guarantee
• “Coverage with evidence development”
• “Field evaluations”
• “3-C Funding”
• “Health outcomes
guarantees”
• “No cure no pay”
• “Pay for performance”
• “Payment by results”
• “Patient access schemes”
• “Get to goal guarantee”
• “Price volume agreements”
• “Rebate/payback
programs”
• “Expenditure cap
programmes”
• “Payment by results”
• “Patient access schemes”
“Risk sharing
arrangements”
OUTCOMES GUARANTEE –
HEALTH OUTCOMES
Four main types:
1.  Payer funds technology for defined period; manufacturer
refunds cost of drug in patients who do not achieve pre-
defined clinical outcome
2.  Payer purchases technology at reduced price for first
treatment cycle; payer purchases technology at regular price
for subsequent cycles in patients who achieve pre-defined
clinical outcome
3.  Payer purchases technology at full price for a specified period
of time; manufacturer agrees to lower price by amount
needed to maintain pre-defined level of cost-effectiveness
4.  Manufacturer initially provides technology at no cost; payers
agree to pay for the technology in patients who achieve pre-
defined clinical outcome and continue to receive the
technology
Why Managed Access Programs
¤ Arrangement between manufacturer and payer
that enables payment for a drug under
specified conditions
¤ AKA risk-sharing agreements to manage risks of:
¤ Potential harms (safety risks)
¤ Real-world effectiveness (who, how long, how
much impact)
¤ Financial impact (# eligible, use)
¤ Other costs (testing, monitoring,
administration)
12
Lifecycle Approach Sets Up
Managed Access Programs
¤  Propose “coverage with evidence development” for
orphan drugs
¤  Early approval based on life-threatening or severely
debilitating condition with no other effective
treatments
¤  Regulatory approval for ODs require on-going data
collection and resubmission of outcomes data (5 years)
¤  Patient registries to collect post-market safety and
effectiveness
¤  On-going studies with expanded patient population
¤  Challenge of “no funding” to expanded data collection
¤  Limits access to patients beyond clinical trials
¤  Limits “real world” data collection
13
Managed Access:
Proven Strategy for Orphan Drugs
¤  Accommodate high uncertainty in safety and
effectiveness with on-going monitoring and data
collection through patient registries
¤  Address budget impact of uncertainty of patient numbers
(diagnosis, eligibility) through risk-sharing plans
¤  Collect cost-effectiveness data to address uncertainty of
long-term benefit vs. harms and health outcomes (QoL,
survival)
¤  Assure high cost of individual use and total budget impact
are justifiable in terms of appropriate patient use,
adherence, documented patient outcomes, and new
knowledge about disease
Learning from Cancer Care Ontario
Oncology Evidence Building Program
¤  Principles for funding Clinical Trials within funded indication
¤  Equitable and timely access to treatments that are safe, offer
maximum clinical benefits and align with best practices
¤  Ensure coverage decisions are evidence-based, fiscally
responsible and consistent with the OPDP policies
¤  Fair, transparent and accountable process
¤  Examples of Evidence-Building Program Clinical Trials
¤  Change in dosing/schedule or combination with another agent
¤  Population not funded
¤  For re-treatment
¤  Approved indication but not “cost-effective”
¤  Indication under trial
¤  Same or different pharmacological class as funded drug
Learning from Ontario DRDs
Drug	
  Name	
   Therapeu-c	
  Indica-on	
   Criteria	
  for	
  Access	
  (Start-­‐Stop)	
  
Aldurazyme®	
  
(laronidase)	
  
Mucopolysaccharidosis	
  
type	
  I	
  
Hurler-­‐Scheie:	
  Start	
  if	
  muta>on	
  +	
  1	
  clinical	
  
(sleep,	
  respiratory,	
  cardiac,	
  joint).	
  Con>nue	
  if	
  
stabilized;	
  Hurler	
  pre	
  HSCT	
  only;	
  Exclude	
  Scheie	
  
Elaprase	
  
(idursulfase)	
  
Mucopolysaccharidosis	
  
type	
  II	
  
Start	
  if	
  6	
  yrs+;	
  no	
  neurocogni>ve	
  impairment;	
  no	
  
ven>la>on;	
  Con>nue	
  if	
  no	
  neurocogni>ve	
  or	
  
ven>la>on	
  
Ilaris®	
  
(canakinumab)	
  
Cryopyrin-­‐associated	
  
periodic	
  syndrome	
  
Muckle-­‐Wells:	
  Start	
  if	
  NLRP3	
  muta>on	
  +	
  SAA	
  ≥	
  
10;	
  NOMID:	
  Start	
  if	
  NLRP3	
  muta>on	
  +	
  symptoms	
  
@<	
  6	
  mos	
  Con>nue	
  if	
  SAA	
  <	
  10	
  +	
  no	
  disease	
  
ac>vity;	
  Exclude	
  Familial	
  Cold	
  Auto-­‐
Inflammatory	
  
Myozyme®	
  
(alglucosidase)	
  
Infan>le/Early	
  Onset	
  
Pompe	
  Disease	
  
Start	
  if	
  diagnosis	
  <	
  1	
  yr	
  +	
  symptoms	
  +	
  
cardiomyopathy.	
  Con>nue	
  no	
  decline	
  or	
  cardiac	
  
Myozyme®	
  
(alglucosidase)	
  
Adult/Late	
  onset	
  
Pompé	
  disease	
  
Start	
  if	
  serious	
  muscular/respiratory	
  symptoms	
  +	
  
no	
  ven>la>on.	
  Con>nue	
  stabilize	
  +	
  no	
  ven>la>on	
  
Zavesca®	
  
(miglustat)	
  
Niemann	
  Pick	
  type	
  C	
   Start	
  if	
  muta>on	
  +	
  Func>onal	
  Disability	
  ≥	
  5	
  and	
  ≤	
  
10.	
  Con>nue	
  Func>onal	
  Disability	
  ≤	
  10	
  
CORD’s ASK for Orphan Drug Access
Strategy
¤  Rare disease patient community has taken the lead to
provide effective, affordable solutions.  We have brought
the best international solutions to the table, Including
managed access programmes.
¤  We cannot afford NOT to treat patients with available
therapies while we are searching for the best solutions.  We
cannot afford to keep patients waiting while the public
system negotiates a price with the company.  
¤  Treat the patients first; adjust the price later.  Adopt best
practices of countries like Germany, the UK, France, Italy,
and Belgium.
¤  Health Ministers MUST act decisively and implement a
panCanadian access programme for rare diseases NOW.
Recommendations for Managed Access to
Orphan Drugs
¤  Performance-based Managed Access Schemes
¤  Key success factors
¤  Programs are national and international in scope
¤  Criteria (for start-stop) are evidence-based
¤  Drug prescribed only under supervision of qualified expert
¤  Guidelines flexible for individualized patient-centred access
¤  Patients, families and patient groups participate in
development and implementation of MAPs
¤  Support patients who do not respond to therapy to transition
to something else
¤  Companies participate in risk-sharing of costs
¤  Analyze drug performance over time to update guidelines
18
Thank You!
19
Durhane Wong-Rieger, PhD
President
Canadian Organization for Rare Disorders
www.raredisorders.ca
416-969-7435
durhane@sympatico.ca

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Canada’s Orphan Drug Regulatory Framework & panCanadian Access to Rare Disease Drugs: Updated and Opportunities

  • 1. Canada’s Orphan Drug Regulatory Framework & panCanadian Access to Rare Disease Drugs Update and Opportunities Durhane Wong-Rieger, PhD President & CEO Nov 11, 2014
  • 2. Why Life-cycle Approach for Orphan Drugs? What is known about the potential/actual benefits and harms associated with an orphan drug may be highly uncertain at time of regulatory application and will change over time. ¤  Orphan drugs treat rare, severe, life-threatening, debilitating conditions that have few or no effective treatments ¤  Compelling benefits > risks ¤  Market approval may be granted despite uncertainty due to: ¤  Small, short clinical trials (e.g., Phase II, non-RCTs, cross-over) ¤  Limited outcome measures, surrogate, biomarkers, nonvalidated PROs ¤  Need for continuous regulator oversight beginning at early development stage with medical plausibility and encompassing a greater ability to define post-approval information gathering. 2
  • 4. Traditional HTA Limits Orphan Drug Access •  HTA OFTEN same as for common drugs •  RCTs = small samples, short timeframes, surrogate markers •  High $ development, small population = High $/patient •  Cost-utility: $/QALY below theoretical $50k threshold •  Small # = Low budget impact •  HTA recommends “no” to most drugs for rare disorders •  Private drugs plans usually cover (but some do not) •  Public drug plans usually adopt HTA recommendations •  HTA limits access in some European countries •  Half of all orphan drugs evaluated have been rejected by one or more HTA bodies in the UK.  •  Where Cost-Effectiveness NOT norm, reimbursement varies; best = 80% to 100% funding 4
  • 5. HTA RELATED CHALLENGES Equity of access to patients as a result of HTA outcomes: challenge to manufacturers and patients Australia (PBAC) Canada (CADTH) England (NICE/AGNSS) France (HAS) Scotland (SMC) ivacaftor (Kalydeco) Indicated for cystic fibrosis with G551D mutation Recommended (March 2014) Restricted (March 2013) Funded by the NHS in England, after review by the Clinical Priorities Advisory Group (2012) Recommended (Nov. 2012) Not recommended (Jan 2013) but available via the Orphan Drug Fund eculizumab (Soliris) Indicated for paroxysmal nocturnal hemoglobinuria Not recommended (March 2009), but eligible for the Life Savings Drug Program (from 2010) Not recommended (Feb. 2010) (Not reviewed by NICE) Recommended (Oct. 2007) Not recommended (July 2011) idursulfase (Elaprase) Indicated for Hunter syndrome (MPS II) Not recommended (Nov. 2007), but eligible for the Life Savings Drug Program (2012) Not recommended (Dec. 2007) (Not reviewed by NICE) Recommended (March 2007) Not recommended (July 2007)
  • 6. Balancing Public Good, Innovation, Effectiveness, Risk & Access 1) Available health care resources should be used in a way that improves the health of populations 2) Patient needs exceed limited healthcare budgets 3) System incentives should encourage innovations for improving health care 4) New technologies lack evidence of effectiveness and safety required by traditional assessment models 5) Lack of evidence of effectiveness ≠ evidence of lack of effectiveness 6) Prior to real-world use, clinical trials findings are best guide to optimal use and funding decisions 7) Collecting data on real-world use can reduce uncertainty and increase the probability of making a ‘good’ funding decision
  • 7. (30 Sep 2014): Health Ministers’ Press Release: Orphan drugs for rare diseases ¤  Orphan drugs are used to treat life-threatening, chronic and seriously debilitating rare diseases ¤  … And are very costly ¤  Growth rates for orphan drug market expected to double overall prescription drug market by 2018 ¤  Establish a working group led by Alberta, British Columbia and Ontario on how to manage the cost of rare disease drug therapies with evidence-based approaches.
  • 8. CORD Response to Health Ministers’ Orphan Drugs Announcement ¤  Need for bold decisive action, NOT timid steps covering old ground ¤  Federal government has introduced “state-of-the art” Orphan Drug Regulatory Framework based on international best practices ¤  PT Health Ministers position not much different than 2006 NPS ¤  Working Group should build on current practices: managed entry/exit criteria, coverage with evidence building, and risk-sharing ¤  Ontario Drugs for Rare Diseases ¤  Cancer Care Ontario Evidence Building Programs ¤  Personalized (targeted) therapies ¤  Re-focus: Saving lives and reducing disabilities rather than just short- term costs ¤  Goal: provide access as soon as possible to reduce deaths and disabillities
  • 9. MANAGED ACCESS SCHEMES aka COVERAGE WITH EVIDENCE DEVELOPMENT AED Coverage as part of a study Health Financial CED Fund/Fund with restrictions Do not fundFund interim Coverage decision-making options Coverage linked to outcomes guarantee
  • 10. MAIN TYPES OF MA/CED SCHEMES Coverage as part of a study Health Financial MAS/CED Coverage linked to outcomes guarantee • “Coverage with evidence development” • “Field evaluations” • “3-C Funding” • “Health outcomes guarantees” • “No cure no pay” • “Pay for performance” • “Payment by results” • “Patient access schemes” • “Get to goal guarantee” • “Price volume agreements” • “Rebate/payback programs” • “Expenditure cap programmes” • “Payment by results” • “Patient access schemes” “Risk sharing arrangements”
  • 11. OUTCOMES GUARANTEE – HEALTH OUTCOMES Four main types: 1.  Payer funds technology for defined period; manufacturer refunds cost of drug in patients who do not achieve pre- defined clinical outcome 2.  Payer purchases technology at reduced price for first treatment cycle; payer purchases technology at regular price for subsequent cycles in patients who achieve pre-defined clinical outcome 3.  Payer purchases technology at full price for a specified period of time; manufacturer agrees to lower price by amount needed to maintain pre-defined level of cost-effectiveness 4.  Manufacturer initially provides technology at no cost; payers agree to pay for the technology in patients who achieve pre- defined clinical outcome and continue to receive the technology
  • 12. Why Managed Access Programs ¤ Arrangement between manufacturer and payer that enables payment for a drug under specified conditions ¤ AKA risk-sharing agreements to manage risks of: ¤ Potential harms (safety risks) ¤ Real-world effectiveness (who, how long, how much impact) ¤ Financial impact (# eligible, use) ¤ Other costs (testing, monitoring, administration) 12
  • 13. Lifecycle Approach Sets Up Managed Access Programs ¤  Propose “coverage with evidence development” for orphan drugs ¤  Early approval based on life-threatening or severely debilitating condition with no other effective treatments ¤  Regulatory approval for ODs require on-going data collection and resubmission of outcomes data (5 years) ¤  Patient registries to collect post-market safety and effectiveness ¤  On-going studies with expanded patient population ¤  Challenge of “no funding” to expanded data collection ¤  Limits access to patients beyond clinical trials ¤  Limits “real world” data collection 13
  • 14. Managed Access: Proven Strategy for Orphan Drugs ¤  Accommodate high uncertainty in safety and effectiveness with on-going monitoring and data collection through patient registries ¤  Address budget impact of uncertainty of patient numbers (diagnosis, eligibility) through risk-sharing plans ¤  Collect cost-effectiveness data to address uncertainty of long-term benefit vs. harms and health outcomes (QoL, survival) ¤  Assure high cost of individual use and total budget impact are justifiable in terms of appropriate patient use, adherence, documented patient outcomes, and new knowledge about disease
  • 15. Learning from Cancer Care Ontario Oncology Evidence Building Program ¤  Principles for funding Clinical Trials within funded indication ¤  Equitable and timely access to treatments that are safe, offer maximum clinical benefits and align with best practices ¤  Ensure coverage decisions are evidence-based, fiscally responsible and consistent with the OPDP policies ¤  Fair, transparent and accountable process ¤  Examples of Evidence-Building Program Clinical Trials ¤  Change in dosing/schedule or combination with another agent ¤  Population not funded ¤  For re-treatment ¤  Approved indication but not “cost-effective” ¤  Indication under trial ¤  Same or different pharmacological class as funded drug
  • 16. Learning from Ontario DRDs Drug  Name   Therapeu-c  Indica-on   Criteria  for  Access  (Start-­‐Stop)   Aldurazyme®   (laronidase)   Mucopolysaccharidosis   type  I   Hurler-­‐Scheie:  Start  if  muta>on  +  1  clinical   (sleep,  respiratory,  cardiac,  joint).  Con>nue  if   stabilized;  Hurler  pre  HSCT  only;  Exclude  Scheie   Elaprase   (idursulfase)   Mucopolysaccharidosis   type  II   Start  if  6  yrs+;  no  neurocogni>ve  impairment;  no   ven>la>on;  Con>nue  if  no  neurocogni>ve  or   ven>la>on   Ilaris®   (canakinumab)   Cryopyrin-­‐associated   periodic  syndrome   Muckle-­‐Wells:  Start  if  NLRP3  muta>on  +  SAA  ≥   10;  NOMID:  Start  if  NLRP3  muta>on  +  symptoms   @<  6  mos  Con>nue  if  SAA  <  10  +  no  disease   ac>vity;  Exclude  Familial  Cold  Auto-­‐ Inflammatory   Myozyme®   (alglucosidase)   Infan>le/Early  Onset   Pompe  Disease   Start  if  diagnosis  <  1  yr  +  symptoms  +   cardiomyopathy.  Con>nue  no  decline  or  cardiac   Myozyme®   (alglucosidase)   Adult/Late  onset   Pompé  disease   Start  if  serious  muscular/respiratory  symptoms  +   no  ven>la>on.  Con>nue  stabilize  +  no  ven>la>on   Zavesca®   (miglustat)   Niemann  Pick  type  C   Start  if  muta>on  +  Func>onal  Disability  ≥  5  and  ≤   10.  Con>nue  Func>onal  Disability  ≤  10  
  • 17. CORD’s ASK for Orphan Drug Access Strategy ¤  Rare disease patient community has taken the lead to provide effective, affordable solutions.  We have brought the best international solutions to the table, Including managed access programmes. ¤  We cannot afford NOT to treat patients with available therapies while we are searching for the best solutions.  We cannot afford to keep patients waiting while the public system negotiates a price with the company.   ¤  Treat the patients first; adjust the price later.  Adopt best practices of countries like Germany, the UK, France, Italy, and Belgium. ¤  Health Ministers MUST act decisively and implement a panCanadian access programme for rare diseases NOW.
  • 18. Recommendations for Managed Access to Orphan Drugs ¤  Performance-based Managed Access Schemes ¤  Key success factors ¤  Programs are national and international in scope ¤  Criteria (for start-stop) are evidence-based ¤  Drug prescribed only under supervision of qualified expert ¤  Guidelines flexible for individualized patient-centred access ¤  Patients, families and patient groups participate in development and implementation of MAPs ¤  Support patients who do not respond to therapy to transition to something else ¤  Companies participate in risk-sharing of costs ¤  Analyze drug performance over time to update guidelines 18
  • 19. Thank You! 19 Durhane Wong-Rieger, PhD President Canadian Organization for Rare Disorders www.raredisorders.ca 416-969-7435 durhane@sympatico.ca