Further Helsana Reports
Medication costs under compulsory health insurance (OKP) are still on the rise. With an increase of 3.6% or CHF 323 million over the previous year, costs amounted to CHF 9.4 billion in 2024. Medicines remain a central and constantly growing component of OKP costs. This increase is linked to reduced transparency in the pricing process and infrequent price reviews for new, high-priced medications. However, there are ways to counteract this. While measures introduced in 2024 to promote biosimilars are having an impact, they have so far fallen far short of their savings targets. In addition, there are currently no indications of structural sex- or gender-specific differentiation in treatment of heart attack and depression; however, this promising approach of targeted gender-specific treatment still lacks sufficient scientific foundations.
Medication is being dispensed in increasing quantities in Switzerland. In 2024, almost 7 million people – more than three quarters of the Swiss population – obtained at least one form of medication through compulsory health insurance. The number of recipients increased by 2.3%, and the number of packs dispensed by a full 2.9%. This means that more people are taking medication, and the average number of packs dispensed per person has also increased, with the average now 20 packs per person per year.
At the same time, new medications are becoming increasingly expensive. And cheaper older versions are often replaced by new, more expensive alternatives. These volume and price effects lead to a noticeable increase in costs.
At the end of 2024, 1,287 drugs were listed on the The specialities list itemises every medication covered by compulsory health insurancespecialities list. However, the cost of these medications varies greatly. The ten most cost-intensive medications generated costs of CHF 1.13 billion: more than 12% of the total cost for medications. Three medications alone – Keytruda for the treatment of cancer, Eylea for the treatment of wet macular degeneration and the blood thinner Xarelto – account for 5% of the total. Together, they generated costs of more than CHF 467 million. By way of comparison, spending on the three most cost-intensive medications amounted to CHF 396 million five years ago, and just CHF 288 million ten years ago. So it is essential that we see consistent implementation of planned cost follow-up models, which provide for sales-based refunds for the cost-intensive medications.
One of the main reasons for the constant rise in medication costs is the fact that newly approved products are coming onto the market at ever higher prices. While a newly approved medication cost an average of CHF 860 between 2010 and 2014, the average price rose to over CHF 1500 between 2020 and 2024.
This represents almost a doubling within ten years – even for products with no innovation potential. The 28 new medicines added to the list of specialties in 2024 already cost CHF 59 million, with half of these preparations having a package price of over CHF 2000. Although, only four of these drugs can be considered potential innovations.
The FOPH only reviews the price of a medication every three years, and reduces it if necessary. As a result, prices for cost-intensive medications are all too infrequently reduced to compensate for ever-increasing market entry prices.
In Switzerland, the Federal Office of Public Health (FOPH) negotiates with manufacturers to set medication prices. They compare with prices abroad (foreign price comparison) and prices for existing treatment alternatives (therapeutic cross-comparison) to determine the “economic price” which is covered by compulsory health insurance. Both values determined in this way are each included in the pricing process at a rate of 50%. Manufacturers may also apply for an innovation surcharge – if their medication has a significantly better effect, for instance.
In its comparison of international prices, the FOPH often uses so-called window prices as a benchmark. These are artificially inflated but publicly published prices for a medication. Window prices are used as a benchmark because the prices actually paid abroad are kept secret. This secrecy is advantageous for pharmaceutical companies, as it allows them to conduct price negotiations on the basis of the inflated window prices.
In order to counteract the rise in medication costs, it would be necessary for the FOPH to refrain from using foreign window prices and to conduct an annual price review of cost-intensive medications.
Imitation medications – generics and biosimilars – are usually therapeutically equivalent but significantly cheaper than original medications, yet Switzerland is not consistently exploiting this savings potential. This is relevant because there are generics available for almost a third of all active ingredients on the specialities list. The local market volume is around CHF 3 billion.
Imitation products are medicinal products brought to market after the patent protection of an original medication expires and which offer the same effect and safety – but at a significantly lower price. There is a difference between generic medications and biosimilars.
Generic medications are chemically produced copies with identical active ingredients, potency and pharmaceutical form. They differ only in additives such as dyes or preservatives, but must have the same effect in the body (bioequivalent). Proof of this bioequivalence is sufficient for approval, and separate clinical studies are not required.
Biosimilars are imitations of biological medicinal products (biologics) derived from living cells. The complex manufacturing process makes minor structural differences unavoidable, but they have no impact on efficacy and safety. Approval is only issued after extensive preclinical and clinical studies have determined that they are comparable to the original.
A number of legislative changes came into force in 2024, all of them aimed at promoting the sale of cheaper imitation products and counteracting rising costs for prescription medications. The most important changes were the revision of the sales share and the increase in the “differentiated excess”. You can find more details on the individual regulatory changes in the overview.
Once the deductible has been exceeded, insured persons pay an excess of 10% up to a maximum amount of CHF 700 per year (children: CHF 350). Since 1 January 2024, an increased excess of 40% applies to expensive original medications for which cheaper imitations are available. Originals are considered “expensive” if the price exceeds the average of the cheapest third plus 10%. The aim of the measure is to get more insured persons to switch to cheaper alternatives and ultimately reduce healthcare costs.
Note: only 25% of the 40% excess paid counts towards the maximum excess. Nevertheless, the upper deductible limit of CHF 700 remains in place. In concrete terms, this means that insured persons never pay more than an additional CHF 420. This is a problem because the actual calculation for insured persons is complex and the financial burden remains limited.
Since 1 January 2024, higher price discounts apply for generic medications and biosimilars. For example, generic medications with moderate sales (CHF 4–8 million) must now be 40% cheaper than the original (instead of 30%). In regular price reviews, discounts increase by 5 percentage points at all sales levels. Valuation of biosimilars and generic medications is now also based on sales, with discounts of 20–35% on adoption and 10–20% upon review. If the original is no longer on the specialities list, other generic medications are used for therapeutic comparison. The aim of the measure is to increase competition and lower medication prices. However, this might pressure original manufacturers to significantly reduce their prices, which could lead to a downward price spiral and jeopardise the market for certain active ingredients.
Since 1 January 2024, pharmacies can dispense biosimilars in place of original medications. As long as the active ingredient, dosage and pharmaceutical form match, and the prescription does not preclude substitution. Previously, this right only applied to generic medication. The aim is to promote the use of biosimilars and thus reduce healthcare costs.
The sales margin covers logistics and distribution costs and consists of a variable and a fixed component. As a result, the sales margin for expensive medicines has been higher than for cheaper ones. Since 1 July 2024, a uniform variable sales margin based on the average price of generic medicines has applied to medicines with the same active ingredient. Pharmacies thus receive the same remuneration regardless of whether they dispense an original or a generic medicine. In addition, the calculation models have been simplified: fewer price categories, a reduced variable surcharge and adjusted packaging surcharges. This leads to lower prices for expensive medicines, but also to higher surcharges for inexpensive medicines. The primary goal was to eliminate the misguided incentives to dispense expensive drugs and to reduce overall costs. However, the package-related surcharges for inexpensive medications have increased, which may lead to higher prices for frequently used products.
Original medications may be subject to differentiated excess. This is higher than the regular excess, which is what makes these products more expensive for recipients. This rule is intended to incentivise increased use of low-cost imitation products with equivalent effect. The differentiated excess was increased in 2024.
In order to avoid the increased differentiated co-payment, many original manufacturers were presumably forced to lower their prices. The differentiated co-payment only applies if the price of a drug exceeds the average price of the cheapest third of all preparations with the same active ingredient plus 10%. The fact that the average price of those original preparations that did not have a differentiated co-payment at the beginning of 2023 fell by only around 9% between 2023 and 2025 argues in favour of price reductions by original manufacturers. In contrast, the price decline for original preparations with a differentiated co-payment was more than double that in the same period: around 19%.
The fact that manufacturers of original medications managed to reduce prices so significantly suggests that they had been far too high to begin with. For the monoclonal antibody rituximab, for example, the average price difference between the original Mabthera and the cheapest imitation was 23.9% between 2020 and 2023. In 2024, this gap abruptly dropped to a mere 9.2%.
In 2024, these price reductions cut purchases of medications with differentiated excess by half within one year.
Nevertheless, products with differentiated excess still account for 8% of all purchases of interchangeable active ingredients. This equates to around 5.2 million purchases in 2024, or a market volume of over CHF 290 million. Complete substitution with the cheapest imitation products would have resulted in additional cost savings of around CHF 65 million in 2024 – without sacrificing quality. Moving away from Gilenya®, Janumet®, Keppra® and Atozet® alone would have led to savings of more than CHF 15 million.
One possible reason why many patients have continued to use the original product despite the increased differentiated excess is likely to be the following: the differentiated excess also remains capped. In concrete terms, this means that the excess can increase to a maximum of CHF 1120 (instead of CHF 700). In practice, therefore, purchasers of overpriced original preparations pay a surcharge of up to CHF 420 per year, which is difficult to calculate. In order to exploit the full savings potential of the reform, the cap on the differentiated excess would have to be abolished. This would create a long-term and comprehensible incentive for all patients to switch to cheaper generic products.
Purchases of generic medications and biosimilars can be determined by the “imitation rate”. An imitation rate of 25% means that a quarter of the purchases of an active ingredient are for imitation products, with three quarters for the original. A high imitation rate is desirable, as generic medications and biosimilars are generally cheaper than original products, with no loss of efficacy.
Despite this price advantage, the increase in Switzerland’s imitation rate has been slow in recent years: +0.6% per quarter for generic medications and +1.1% per quarter for biosimilars. However, the 2024 reform provided an additional boost. For example, the generics rate increased from 65.6% to 69.6% (+4.0%) between the last quarter of 2023 and the first quarter of 2024, while the rate for biosimilars leapt from 27.7% to 34.8% (+7.1%). Imitation rates increased further over the course of 2024: to 71.3% for generic medications and 40.9% for biosimilars. Yet the imitation rate remains low, particularly in the case of biosimilars.
Despite this positive trend, there is still room for improvement in imitation rates, and the potential for promoting generic medications and biosimilars has yet to be exhausted.
Overall, the FOPH wanted to achieve annual savings of CHF 250 million in the area of interchangeable active ingredients with the legal changes introduced in 2024.
Comparing the long-term downward trend in the total costs of interchangeable active ingredients with the actual cost development in 2024, there are indeed clear shifts towards increased prescribing of generics and biosimilars. The strongest effects occurred at the beginning of 2024 with the increase in the differentiated co-payment. These arose primarily from a shift in volume towards cheaper preparations and a reduction in the prices of original products.
However, only estimated savings of around CHF 76 million have been realised for 2024 to date. Of this, around one third (CHF 26 million) is attributable to generic drugs and the other two thirds (CHF 50 million) to biosimilars. This means that the FOPH’s overall savings target of CHF 250 million has not (yet) been achieved, although some innovations are only likely to take effect in subsequent years.
Further efforts are nevertheless needed to achieve the expected savings of CHF 250 million. The FOPH would have effective instruments at its disposal to achieve this, for example by removing the cap on co-payments for medicines with differentiated co-payments.
Differences between sexes and genders are apparent in many areas of medicine. Examples include the way symptoms of illness manifest, the frequency of different illnesses, and Pharmacokinetics is the study of how the body absorbs, distributes, metabolises and excretes different drugs.pharmakokinetik profiles. The research area of gender medicine, still in its infancy, systematically investigates these differences between men and women. In May 2024, the University of Zurich established Switzerland’s first chair in this field.
One area of gender medicine is healthcare research. This is an interdisciplinary field that analyses the structures, processes and outcomes of healthcare under everyday conditions. One example is the analysis of differing treatment patterns for women and men. Helsana statement data can be used to determine how often medications are prescribed and identify differences in treatment and potential gaps in care between women and men.
For example, we conducted analysis that showed that prior to heart attack, men were treated with cholesterol-lowering drugs (e.g. statins) and platelet aggregation inhibitors (e.g. acetylsalicylic acid) more often than women, but less often with ACE inhibitors, beta-blockers or other drugs that lower blood pressure.
After a heart attack, both women and men receive much more intensive medication treatment. On average, men received more comprehensive treatment than women. However, it would be premature to diagnose a discrepancy in treatment from this data, which lacks important clinical information that determines whether a medication is indicated. For example: the patient may have co-morbidities or intolerance which preclude use of the medication.
Mental illnesses such as depression are much more common among women than men, and women seek professional treatment for them more often. Young women between the ages of 20 and 24 are more than twice as likely to purchase antidepressants as men of the same age, a trend that persists across all age groups.
From the literature we can already see potential differences in the way women and men metabolise antidepressants. Nevertheless, our data show that this is not reflected in drug dosages. In determining dosage, the chosen product appears to outweigh the sex or gender of the person for whom it is intended.
This result is not surprising. For one thing, treatment guidelines don’t (yet) provide for sex- or gender-specific dosing. However, the results could serve as an impetus for further research in gender medicine and truly targeted treatment for all patients in the future.
You can find more detailed information, including the methodology used, comprehensive figures and a large number of facts and charts relating to the above topics and specific sections in the “Helsana Report: Pharmaceuticals 2025».