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The decision process

Our board of experts, the Pharmaceutical Benefits Board, makes most of the decisions on pricing and reimbursement. Our decisions are based on a number of factors, including the fundamental principles of the health care system.

The Pharmaceutical Benefits Board makes reimbursement and pricing decisions for new:

  • original brand products
  • dosage forms of medicines already granted reimbursement status
  • The Director-General of TLV make reimbursement decisions regarding:
  • licensed medicinal products
  • generic medicinal products
  • parallel-imported medicinal products
  • new dosage strengths and packaging for medicines already granted reimbursement status
  • price increases and reductions

Fundamental principles

Our decisions issue from the Act on Pharmaceutical Benefits as well as the overarching goal of promoting good health and equal access to healthcare.

We take into account three fundamental principles:

  • the cost-effectiveness principle - the cost of using a medicinal product should be reasonable from a medical, humanitarian and socioeconomic perspective
  • the need and solidarity principle - those with the most pressing medical needs should have more of the health care system's resources than other patient groups
  • the human value principle - the health care system should respect the equal value of all human life

Before we make a decision, the region councils are entitled to review the company's application along with our decision materials. The applying company can also access our information material in regard to the decision.

We weigh the costs against the benefit

We weigh the benefit of a medicine against its cost. All positive effects on human health are analysed with respect to cost in order to ensure that a medicinal product is cost-effective to use. We also take the solidarity principle and the human value principle into account when making our decisions.

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Last updated
2 August 2022
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