How Does the New Most Favored Nation Drug Pricing Affect Medical Affairs?

ACMA

ACMA

May 19, 2025

5 minutes read

Introduction

The "Most Favored Nation" (MFN) drug pricing policy marks a profound shift in the U.S. pharmaceutical environment. Designed to curb the rising costs of prescription medications, the MFN framework aligns Medicare reimbursements for certain Part B drugs with the lowest prices paid by comparable developed nations. By benchmarking U.S. prices against international standards, this initiative seeks to reduce cost disparities and ease the financial burden on the healthcare system and its beneficiaries.

Although cost containment lies at the heart of the MFN policy, its ripple effects extend far beyond mere pricing changes. Medical Affairs and Medical Science Liaison (MSL) teams face strategic and operational challenges as they adapt to new evidence requirements, stakeholder dialogues, and regulatory complexities. No longer confined to discussions of clinical efficacy and safety, teams must now weave pharmacoeconomic insights and global pricing comparisons into their scientific narratives.

Integrating Value-Based Evidence in MSL Engagements

Under the MFN regime, scientific exchanges may require to include cost-effectiveness alongside traditional clinical outcomes. To meet these demands, field medical teams must master pharmacoeconomic modeling, comparative pricing methodologies, and the implications of reimbursement shifts on patient access and therapy adoption.

Effective engagement now depends on weaving approved health economics and outcomes research (HEOR) data into conversations, while clearly distinguishing scientific exchange from promotional activity. Customized communication tools, such as succinct value dossiers and targeted FAQs, help address policy-driven queries, and ongoing training can help to build MSL proficiency in health economics.

Aligning Real-World Evidence Strategies with Policy Priorities

As policymakers look to demonstrate value under tighter budget constraints, the MFN policy elevates the importance of real-world evidence (RWE). Medical Affairs teams must craft evidence plans that not only highlight clinical differentiation but also substantiate cost-benefit arguments within an international pricing context. Prospective RWE studies, focusing on hospitalization rates, quality-of-life metrics, and downstream cost savings, complement traditional cost-effectiveness analyses and support favorable formulary positioning.

Early collaboration with HEOR and epidemiology specialists ensures that burden-of-illness data and economic models reflect geographic and policy nuances. Leveraging longitudinal claims databases and electronic medical records further enriches the value narrative in alignment with CMS reimbursement trends.

Engaging in Policy-Oriented Scientific Dialogues

In today’s environment, KOLs with expertise in clinical economics and health policy are evaluating therapeutic innovations through a policy lens. MSLs must therefore contextualize how MFN-related reforms influence clinical practice, reimbursement pathways, and patient access. Tailored discussion frameworks facilitate transparent dialogue about policy impacts at both the practice and institutional levels.

Strengthening Pre-Approval Information Exchange and Formulary Strategies

The heightened scrutiny on pre-approval information exchange (PIE) under CMS reforms highlights the need for specific compliance processes. Medical Affairs should champion clear protocols for sharing pre-approval pharmacoeconomic assumptions with payers and population health leaders. Proactive alignment with regulatory affairs ensures that economic models and educational materials inform formulary decisions without crossing promotional boundaries.

Modernizing MSL Skills in Health Policy and HEOR

The MFN era demands that MSL competencies expand beyond clinical expertise to include fluency in health policy and even pharmacoeconomics. Internal training programs should integrate global pricing dynamics, while professional certifications, such as the Board Certified Medical Affairs Specialist (BCMAS), offer structured learning pathways on these competencies for MSL teams. Cross-functional collaboration and knowledge-sharing platforms reinforce alignment with commercial and HEOR teams, fostering a unified approach to emerging policy challenges.

Actionable Recommendations for Medical Affairs Leaders

  1. Enhance evidence planning by engaging HEOR colleagues early and focusing research on policy-relevant outcomes like cost savings and comparative effectiveness.
  2. Build MSL expertise in health economics through comprehensive education programs, real-world case studies, and external certifications.
  3. Establish rigorous PIE protocols that leverage FDA-approved materials, clear communication boundaries, and proactive regulatory coordination.
  4. Update scientific resources to reflect MFN implications, ensuring consistency across channels and empowering field teams with current, relevant messaging.
  5. Foster cross-functional integration through regular strategy meetings and unified plans that address clinical, economic, and policy objectives.
  6. Monitor policy developments closely and adapt strategies swiftly to maintain alignment with evolving reimbursement and pricing landscapes.

Frequently Asked Questions

How does the MFN model influence MSL field engagement priorities?
The MFN policy expands MSL responsibilities to include value-based dialogues alongside clinical discussions, requiring a deeper understanding of affordability metrics and international pricing comparisons.

How do Medical Affairs and Market Access teams collaborate on MFN implications?
Medical Affairs supplies clinical and RWE, while Market Access navigates reimbursement pathways. Together, they align messaging, evidence plans, and stakeholder outreach to address payer and provider concerns.

What economic data can MSLs share?
Approved HEOR studies, burden-of-illness analyses, PIE-compliant materials, and data from regulatory submissions are always presented objectively and free of promotional bias.

Which new competencies should MSLs acquire?
Proficiency in pharmacoeconomic modeling, policy analysis, and global pricing dynamics equips MSLs to navigate MFN-driven discussions effectively.

Conclusion

Navigating the MFN landscape requires Medical Affairs to blend clinical evidence with health economic insights, uphold stringent compliance standards, and foster cross-functional collaboration. By modernizing MSL skill sets, refining engagement strategies, and staying vigilant on policy shifts, organizations can position themselves as trusted partners in delivering value-driven healthcare solutions under evolving drug pricing reforms.

References:

ASHP Issue Brief: “Most Favored Nations” Drug Pricing Executive Order

https://www.ashp.org/advocacy-and-issues/key-issues/drug-pricing/ashp-issue-brief-most-favored-nations-drug-pricing-eo

FACT SHEET: Most Favored Nation Model for Medicare Part B Drugs and Biologicals

https://www.cms.gov/newsroom/fact-sheets/fact-sheet-most-favored-nation-model-medicare-part-b-drugs-and-biologicals-interim-final-rule

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