Supporting Innovation
HLC counters efforts to expand government price controls on the private sector by advancing policies that foster ongoing robust scientific research and development necessary to produce more affordable, accessible, and cutting-edge treatments, therapies, and cures.
The Issue
Efforts to improve access to medicine are focused on lowering the cost of prescription drugs. However, imposing artificial price controls on therapies will have the perverse unintended consequence of limiting the development and availability of breakthrough treatments.
To advance treatments, improve Americans’ health, and prevent chronic conditions, the private sector needs to be able to invest with predictability. By serving as a consistent and collaborative partner, the government can provide stability and encourage medical innovations.
Unpredictable shifts undermine private-sector confidence. When government signals are unclear or inconsistent—whether through pricing mandates, threats to intellectual property protections, unanticipated changes to research funding, or trade policy fluctuations—industry confidence erodes, discouraging long-term investments in high-risk, high-reward therapies.
Policy Solutions
HLC supports reforms that enable long-term investments in innovation while ensuring access for patients. We urge policymakers to consider the following recommendations as they explore future reforms:
Promote Transparency, Predictability and Collaboration to Foster Innovation
Healthcare providers, manufacturers, and plans need timely guidance, clarity around expectations, and opportunities to offer real-world input to help minimize unintended consequences as policies are implemented. A stable, predictable policy environment will encourage investment in future cures. However, inconsistent federal actions create uncertainty, undermining progress, and disrupting medical supply chains. HLC recommends advancing clear and consistent policies to promote innovation, providing clear and timely implementation guidance, and collaborating with stakeholders to streamline implementation.
Correct Disincentives for Development of Treatments
Small molecule medicines are currently subject to government price-setting four years earlier than biologics, disincentivizing innovation in areas such as cancer, neurological diseases, and rare conditions. This unequal treatment of small molecule drugs disincentivizes critical research and development, especially in therapeutic areas with high unmet need. This discourages companies from conducting additional studies that could extend life-changing treatments to more patients with other rare conditions.
Engage and Educate Patients on Changes to Prescription Drug Benefits
Meaningful patient engagement as well as targeted education and tools are essential to ensure reforms not only achieve but maximize their intended impact. HLC recommends enhancing beneficiary education on the Medicare Prescription Payment Plan and improving two-way communication in patient engagement efforts.
Innovation Letters & Comments
HLC comments support strengthening intellectual property provisions of USMACA
HLC joint letter to Congressional Leadership in support of S. 2761/H.R. 5269, the “Reforming and Enhancing Sustainable Updates to Laboratory Testing Services (RESULTS) Act
HLC response to Section 232 National Security Investigation of imports of PPE, medical consumables, and medical equipment
Innovation News
HLC Reacts to Latest Most Favored Nation Drug Pricing Proposal
The Healthcare Leadership Council released the following statement about the Administration’s latest Most Favored Nation drug pricing proposal:“America continues to lead the world in medical innovation, with over half of new medicines coming to mark…
HLC Members Commit Billions to Strengthen U.S. Healthcare Infrastructure for American Patients
Note: this blog was originally published in May 2025 and has been updated as new announcements were made throughout the year. It was most recently updated November 6, 2025.From drug makers and device manufacturers to care providers, HLC members are …
“Tariffs would critically harm patients” – HLC Highlights Private Sector Actions to Strengthen Healthcare Supply Chain
The Healthcare Leadership Council (HLC), an association of CEOs and C-suite executives from all sectors of healthcare, responded to the Department of Commerce's request for information (RFI) regarding the initiation of a Section 232 National Securit…
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