Biogen working with Cigna, CVS on Alzheimer's treatment

With Biogen gaining FDA approval for its Alzheimer's drug, aducanumab, questions have started to swirl around how health insurers will cover the $56,000-a-year treatment.

Five things to know:

1. The FDA approved Biogen's Alzheimer's drug, aducanumab, branded under the name Aduhelm, on June 7. It is the first approval the agency has granted to an Alzheimer's treatment since 2003.

2. Biogen and its development partner Eisai estimate that the drug, given as an infusion, will cost $4,312 per infusion for a patient, or $56,000 a year.

3. Cigna is entering a value-based contract with Biogen for the drug, under which the companies will track patient outcomes and performance, Biogen and Eisai said June 7.

4. Additionally, Biogen and Eisai are working with CVS Health on cognitive screenings, which will begin in September in 14 large cities.

5. Medicare is expected to cover the drug, though out-of-pocket maximums will determine how much beneficiaries may need to pay for the treatment.

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