NCL leads effort to encourage FDA to adopt safer standards for OTC hearing aids

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March 10, 2022 

Media Contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242 or Katie Brown, katie@nclnet.org, (202) 207-2832 

Washington, DC – Today, National Consumers League (NCL), along with 29 not-for-profit, public health organizations from across the country, sent a letter to the U.S. Food and Drug Administration (FDA) regarding the agency’s ongoing process to establish regulations that will soon allow hearing aids intended for adults with perceived mild to moderate hearing loss to be sold over-the-counter (OTC) without any involvement of a medical professional. As the FDA finishes developing its final OTC hearing aid regulation, we urge the agency to include stronger measures to better protect consumers affected by this new category of medical devices.  

We applaud the FDA for its efforts to provide increased access and affordability through the creation of this new category of hearing aids. At the same time, the FDA must ensure these devices are safe, particularly given that many consumers will purchase OTC hearing aids without knowing their clinical level of hearing loss and not having any support from a medical professional. In addition to hearing loss, many OTC hearing aid users may also have other medical challenges impeding their ability to recognize and/or react to loud or uncomfortable sounds produced by these hearing aids. Under such circumstances, the need to ensure OTC hearing aids fulfill their intended purpose without risking unintended harm cannot be understated. 

The letter states: “To ensure the safety of consumers, we believe the FDA should implement the recommendations of the nation’s leading associations of hearing care professionals, including the American Academy of Otolaryngology-Head and Neck Surgery, American Academy of Audiology, American Speech-Language-Hearing Association, and International Hearing Society. These associations are urging the FDA to lower the maximum sound output to 110 decibels and establish an amplification (or gain) limit of 25 decibels. These associations, as well as respected entities like the World Health Organization and the Centers for Disease Control and Prevention, have made clear that allowing sounds to enter the ears of consumers at the proposed levels can cause serious and permanent hearing damage within mere seconds.” 

Importantly, these recommendations will not have any impact on the FDA’s goal of providing increased access to affordable hearing devices, compromise the effectiveness of OTC hearing aids, or discourage innovation—they will only make them sufficiently safe for consumers with mild to moderate hearing loss.  

Read the full letter HERE. Learn more about the issue here: OTC Hearing Aids- Gain and Output 

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About the National Consumers League (NCL) 

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

 

NCL applauds action to rein in deceptive marketing of contact lenses

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February 3, 2022

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org or (412) 945-3242

Washington, DC –The National Consumers League (NCL), America’s pioneering consumer advocacy organization, welcomed the enforcement action undertaken by the Federal Trade Commission (FTC) and the Department of Justice (DOJ) to end the deceptive marketing of contact lenses by Vision Path, Inc.

Vision Path, a direct-to-consumer seller of Hubble contact lenses, will pay penalties and redress totaling $3.5 million to settle charges that it violated the FTC’s Contact Lens Rule and put consumers at risk by failing to obtain proper prescriptions, and neglecting to properly verify prescription information, and by substituting Hubble lenses for those actually prescribed to consumers.

“This action against Vision Path should serve as a warning to any company that disregards laws intended to protect consumers. NCL has been at the forefront of efforts to get Congress and federal regulators to crack down on companies that deceptively market to consumers and illegally substitute their contact lenses in place of those originally prescribed by a patient’s eye doctor,” said NCL Executive Director Sally Greenberg.

The FTC’s complaint alleges that Vision Path engaged in other deceptive practices, such as failing to disclose that “independent” consumer reviews were actually solicited by the company. The FTC also alleges that Vision Path engaged in a deceptive negative-option billing model that encouraged consumers to sign up for 15 pairs of daily-wear contact lenses and then automatically enrolled them in a subscription plan. NCL has long supported legislation, such as the District of Columbia’s landmark Structured Settlements and Automatic Renewal Protections Act of 2018, that would require a consumer’s explicit affirmative consent before such automatically-renewing contracts could kick in.

“Consumers are best served when they work with their health care providers to ensure the most appropriate and safest use of FDA-regulated medical devices, like contact lenses,” said Greenberg. “We are grateful to the DOJ and the Consumer Protection Bureau at the FTC, which led this effort, for their rigorous enforcement of consumer protection laws. While this is an important development, violations of the Contact Lens Rule continue. We will continue to press Congress and federal agencies to ensure that the CLR is being implemented and enforced as Congress intended.”

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

Report: Fraud losses hit 10-year high in top scams report

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Fast-growing investment scams linked to cryptocurrency

February 1, 2022

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org or (412) 945-3242

Washington, DC—Being a fraud victim in 2021 was likely to cost more money than at any time in the last 10 years, according to a new report from the National Consumers League (NCL), which runs Fraud.org. In 2021, the median fraud loss reported to the NCL Fraud.org campaign hit a 10-year high of $800, according to the organization’s annual Top Ten Scams Report. Although the percentage of complaints involving financial loss (41.49 percent) took a slight dip from the previous year (47.48 percent), consumers who lost money reported losing it in greater amounts.  The median loss by victims was up $150 in 2021, according to the organization, which analyzed more than 4,300 complaints filed by consumers online, over the phone, and via postal mail.

“What this data tells us is that scammers are getting better at extracting more money from their victims,” said John Breyault, NCL vice president of public policy, telecommunications, and fraud and the director of the Fraud.org campaign. “We remain concerned that consumers facing economic difficulty and isolation from friends and loved ones due the pandemic are creating fertile ground for crooks.”

The top complaint category reported to Fraud.org in 2021 was bogus prizes, sweepstakes, and “free” gifts. Complaints about such scams made up more than one in three (35.23 percent) complaints captured at Fraud.org, an increase of 48 percent year-over-year. Echoing data recently released by the Federal Trade Commission, the fastest-growing type of scam reported to Fraud.org was investment related, particularly those involving cryptocurrencies. Complaints about these scams more than doubled in 2021 (168 percent year-over-year increase).

Top scams reported to Fraud.org in 2021

  1. Prizes/Sweepstakes/Free Gifts
  2. Internet: Gen Merchandise
  3. Phishing/Spoofing
  4. Fake Check Scams
  5. Friendship & Sweetheart Swindles
  6. Investments: Other (incl. cryptocurrency scams)
  7. Advance Fee Loans, Credit Arrangers
  8. Family/Friend Imposters
  9. Computers: Equipment/Software (incl. tech support scams)
  10. Scholarships/Grants

“We hear heartbreaking stories from fraud victims nearly every day,” said James Perry, NCL’s consumer services coordinator. “While these statistics are sobering, behind each one of them are real people,  some of whom have lost their life savings to criminals promising easy money to their victims.”

The goal of most fraudsters is, ultimately, to get paid. In 2021, consumers most frequently told Fraud.org that fraudsters were after their credit card information. However, complaints noting other payment methods such as gift cards, cryptocurrencies, and peer-to-peer payment apps continued to grow in popularity among scammers. In 2021, complaints involving such payment methods increased by nearly half (45.28 percent) year-over-year.

“We are very concerned that scammers are increasingly adopting new payment methods, many of which offer few—if any—consumer protections,” said Eden Iscil, NCL public policy associate. “This new data should serve as a wake-up call to federal regulators that it is past time to close the loopholes in federal consumer protection law that allows these scams to proliferate.”

To view the full 2022 Top Ten Scams report, click here.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NCL offers support for the Domain Reform for Unlawful Drug Sellers (DRUGS) Act

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January 31, 2022

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org or (412) 945-3242

Washington, DC – The National Consumers League is pleased to support the Domain Reform for Unlawful Drug Sellers (DRUGS) Act (HR 6352), which was introduced on January 7, 2022 by U.S. Representatives Bobby L. Rush (D-Ill.) and David B. McKinley, P.E. (R-W.Va.). The Senate equivalent (S. 3399)was introduced by Senators Marco Rubio (R-Fla.) and Amy Klobuchar (D-Minn.). This legislation aims to create a program that holds internet registries and registrars responsible for illegitimate drugs being sold on their online platforms.

“People of all ages have been affected by the sale of illegitimate drugs on the internet. This issue needs a targeted intervention to avoid further harm and death that results from this problem. Requiring online platforms to take action when they are notified of illegal activity on their domains will help to reduce the number of domains selling illegitimate drugs,” said NCL’s Director of Health Policy Jeanette Contreras.

The DRUGS Act would require internet registries to take immediate action when they receive notice from “trusted notifiers” that one of their domain names is being used to sell drugs illegally online. Agencies that are considered “trusted notifiers” include the Food and Drug Administration (FDA), the Department of Justice (DOJ), the Department of Homeland Security (DHS), State Attorneys General, and State Boards of Pharmacy, among others. After receiving a notice, the online platforms would have to suspend the domain from operating, to allow for an investigation before resuming online sales. The domains would have the option to appeal, by providing evidence of lawful operation.  

This legislation is a monumental step in ensuring that online platforms are held accountable for allowing illegal online pharmacies to be created, and shutting down those that already exist and operate. The DRUGS Act is modeled on a successful FDA pilot program, which resulted in the takedown of nearly 30 domain names used to offer illegal opioids online in 2020.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NEW RESEARCH: CBD companies exploiting academic partnerships for marketing purposes

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January 20, 2022

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org or (412) 945-3242

Washington, DC—The Journal of Studies on Alcohol and Drugs today released new research that reveals the various tactics cannabidiol (CBD) companies use to thwart the Food and Drug Administration (FDA) review process and assert that their therapeutical claims are backed by science.

The study, The Use of Academic Research in Medical-Cannabis Marketing: A Qualitative and Quantitative Review, illuminates the need for FDA regulatory approval and stronger oversight to address the risks to consumers and patients alike when companies exploit that system. The findings reveal nearly 1,000 health claims touting CBD’s ability to mitigate symptoms or treat mental health, autism, pain, sexual health, AIDS, cancer, COVID-19, and more, providing just a snapshot of the current, unregulated marketing tactics being used to mislead the public.

The research was commissioned by Consumers for Safe CBD, a campaign spearheaded by the National Consumers League and conducted by Data Science Solutions. The research took place in the summer of 2020 and was published today in the Journal.

“It’s important that consumers understand what they’re up against when it comes to the current marketplace,” said Sally Greenberg, Executive Director of the National Consumers League. “Day in and day out we see CBD products promoted by celebrities and ‘health experts’ who have no clue what is truly in the products they push. This research helps give a snapshot of just how many misleading claims are out there and will help consumers better understand how to identify — and know to question — marketing red flags.”

“Unfortunately, many CBD manufacturers talk quite a bit about research, but have rarely engaged in the kind of large-scale randomized controlled trials necessary to establish that a drug is safe and effective,” said Theo Caputi, M.P.H, M.SC. author of the study. “CBD products are flooding the retail marketplace — readily available to consumers — and this review shows a serious need for adequate research and testing to ensure safety of these products and effectiveness for the claims companies are making.”

Most of the top medical marijuana companies analyzed:

  • use the existence of academic partnerships and observational relationships in an effort to legitimize health claims, despite having little to no clinical trial activity;
  • routinely use academic research in marketing strategies (“research as marketing”) to mislead the public; and,
  • evade FDA approval process by creating their own pseudo-approval process, making products appear legitimate, safe, effective, and eligible for insurance coverage for a range of health claims through these “research as marketing” tactics.

“It is alarming to see so many companies purposefully evading the FDA process — the gold standard in consumer protection — and making therapeutic claims with little to no real, clinical evidence,” said Greenberg. “Many of these companies have received warning letters from the FDA, yet these harmful and misleading tactics continue. It’s time for Congress to empower FDA to use its full authority to protect consumers. Consumers for Safe CBD will continue to serve as a watchdog to ensure CBD products are safe and effective.”

The CBD market continues to grow despite the FDA stating that CBD cannot be generally regarded as safe (GRAS) for use in food and beverage products. According to a Statista report, CBD sales in the U.S. reached $4.6 billion in 2020. By 2026, the market is expected to grow to $16 billion. Consumers, through these “research as marketing” tactics, have been led to believe that CBD has both medical benefits and health maintenance effects. However, there is only thorough, scientific-backed proof of medical benefits in the one and only FDA-approved CBD prescription drug product available.

“It is arguably unethical and certainly misleading for commercial entities to use the legitimacy of early scientific research — and the announcement of such endeavors — as a marketing tool,” Caputi added, “In fact, this ‘research’ used — or even simply announced in press releases — is not nearly substantial enough to ensure safety and effectiveness of these products for therapeutic use. We must rely on the rigorous FDA approval process to be sure these products meet the gold standard for safety and efficacy.”

Click HERE to read the full study in the Journal of Studies on Alcohol and Drugs.

To  learn more about the risks of unregulated CBD, visit 4safecbd.org.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NCL applauds decisive action by CFPB against fraudulent payments processor

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January 19, 2022

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org or (412) 945-3242

Washington, DC—The National Consumers League (NCL) today applauded action taken by the Consumer Financial Protection Bureau (CFPB) to hold payments processor BrightSpeed accountable for facilitating payments known to be associated with fraudulent tech support schemes. The Bureau, a critical safeguard for consumers nationwide, has banned BrightSpeed and its founder from participating in multiple financial service industries, including payment processing. Fraudulent tech support scams have been significant source of complaints that NCL receives via its Fraud.org website.

The following statement is attributable to NCL Executive Director Sally Greenberg:

“BrightSpeed processed payments for companies that took advantage of victims, especially senior citizens. They continued to serve scammers despite being aware of nearly 1,000 consumer complaints against their clients, as well as multiple inquiries from banks and law enforcement. BrightSpeed is not alone in this; many other financial institutions are also aware that they are being used to facilitate fraudulent activity. Given the massive spike in fraud since the beginning of the pandemic, we must tackle the problem by addressing all entities involved — especially the financial institutions.

“We hope that today’s action by the CFPB reflects a greater shift towards holding not just fraudsters accountable, but also the financial institutions that enable these crimes. Today’s settlement should serve as wakeup call that looking the other way while fraudsters take advantage of financial services platforms will not be tolerated under the Bureau’s new leadership.”

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

Script Your Future launches eleventh annual student competition for innovations in medication adherence

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January 18, 2022

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org, (412) 945-3242

Washington, DC—Today marks the launch of the eleventh annual Script Your Future Medication Adherence Team Challenge, a two-month-long intercollegiate competition among pharmacy student teams and faculty for creating solutions to raise awareness about medication adherence as a critical public health issue. The Challenge, hosted by the National Consumers League (NCL), is returning to university campuses across the country building on a decade of successful student competition and innovation. 

The Challenge is an integral part of Script Your Future, a campaign launched by NCL and its partners in 2011 to combat the problem of poor medication adherence in the United States, where nearly three out of four patients do not take their medication as directed. In addition to medication adherence, in 2022 teams will counsel patients on vaccine confidence and safe drug disposal. 

Both faculty and student participants from last year’s awarded teams have reflected on their experiences in the Script Your Future program: 

“The Script Your Future Team Challenge was a great way for our pharmacy students to collaborate with other health professional students and positively impact our community by being a part of the COVID-19 response efforts, vaccinating thousands of individuals against COVID-19, addressing vaccine hesitancy, as well as providing patient education regarding medication adherence. We appreciate the opportunity the Challenge offered our students, and we are looking forward to participating again this year!”  

—Lisa Hong, PharmD, Associate Professor, Loma Linda University School of Pharmacy 

“Participating in Script Your Future was a refreshing experience and helped me and my students step outside of our frustration with the COVID-19 pandemic and do something about it. It was wonderful to have the opportunity to work with colleagues and students from other programs toward a single goal. Everyone, especially the students, really stepped up and thought outside the box to achieve the goals of Script Your Future.”  

—Erin Gysbers, PA-C, Didactic Director, Assistant Professor, Loma Linda University 

“I am extremely proud of the efforts of our team to achieve vaccination rates as high as 96 percent in our community. This is just a small testament to what we are all capable of in contributing to keep our communities safe and I am excited for future efforts.”  

—Joseph Velasco, PharmD Class of 2022, Loma Linda University School of Pharmacy  

“The Script Your Future Team Challenge has given me the opportunity to create numerous online resources to help patients with their medication adherence and to increase their COVID-19 vaccine confidence. This experience challenged me to work creatively with our WesternU’s AMCP Research and Education committee to not only create helpful infographics, but to widen the accessibility of these resources through QR codes and a texting service. These electronic tools gave patients improved access to our helpful resources on our very own WesternU AMCP Health Helper website. We also expanded onto social media and physically delivered our resources to pharmacies, local communities, and schools in Pomona, California. Participating in this program has been an experience that will resonate through my future career.” 

—Andrew Pham, PharmD Class of 2024, Western University of Health Sciences College of Pharmacy  

As the nation continues to navigate the COVID-19 pandemic, Script Your Future teams are encouraged to build their campaigns centering around vaccine confidence to help address hesitancy and mitigate further spread of the coronavirus. Teams are encouraged to tailor their outreach towards chronic health issues including cardiovascular disease, hypertension, diabetes, and respiratory illnesses. Challenge administrators also welcome the inclusion of other disease groups that would benefit from medication adherence-related interventions. Teams are also encouraged to integrate messaging on the importance of safe drug disposal. Patient counseling on this topic will help patients to know how to properly and safely dispose of their medications after they are no longer needed.  

Through March 28, inter-professional teams—including student pharmacists, nurses, doctors, and others—will implement creative approaches to outreach in their communities to raise awareness and improve understanding about medication adherence. At the end of the Challenge, teams submit entries for review by national partner organizations, and winners are recognized for their efforts to improve medication adherence. 

Last year, Team Challenge student health professionals were met with unique circumstances, hurdles, and obstacles as they navigated the historic COVID-19 pandemic, which resulted in school closures, event cancelations, and a host of other challenges. In spite of this, more than 5,000 future healthcare professionals and volunteers from 78 participating health professions schools participated. Collectively, the teams directly counseled close to 150,000 patients and vaccinated over 134,000 consumers, nationwide. Since the Team Challenge began in 2011, more than 18,800 future healthcare professionals have participated, reaching nearly 26 million consumers. 

Last year’s national award winner was University of Charleston School of Pharmacy. Other schools winning category-specific honors included: University of the Sciences School of Pharmacy; Loma Linda School of Pharmacy; Howard University College of Pharmacy; Wilkes University Nesbitt School of Pharmacy; University of Pittsburgh School of Pharmacy; and Western University College of Pharmacy. Additional participating schools received finalist and runner-up status across a variety of award categories. 

The Team Challenge is sponsored by the American Pharmacists Association (APhA), the National Association of Chain Drug Stores (NACDS) Foundation, and the National Community Pharmacists Association (NCPA). 

To learn about previous winners, visit Script Your Future’s online home. 

For more information on the Challenge, visit the Team Challenge community website. 

Tweet along with us during the Team Challenge using #SYFchallenge, and follow the campaign @IWillTakeMyMeds. 

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About National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

About Script Your Future

Script Your Future is a campaign of the National Consumers League (NCL), a private, non-profit membership organization founded in 1899. NCL’s mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information about the Script Your Future campaign, visit ScriptYourFuture.org. For more information on NCL, please visit nclnet.org.

National Consumers League statement on the death of Senate Majority Leader Harry Reid

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December 30, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org or (412) 945-3242

Washington, DC—The National Consumers League paid its respects this week to the Senator most responsible for the enactment in 2010 of the landmark Affordable Care Act, known also as “Obamacare,” which for the first time in American history made universal health care available to consumers. We thank Senator Harry Reid of Nevada, who died this week, for that critical achievement.

This statement is attributable to NCL Executive Director Sally Greenberg:

The National Consumers League pays tribute — upon his death — to former Senate Majority Leader Harry Reid, whose remarkable legacy includes navigating the adoption of the 2010 Affordable Care Act through the U.S. Senate. Reid credited the lack of health care available he faced growing up for his determination to get the ACA enacted. He noted that “a great nation can’t have upwards of 40 million to 50 million people with no way to go to a hospital or see a doctor.”

Reid recalled how he saved money working at a gas station to buy his mother a set of teeth and the lack of mental health services for his father, who ultimately died by suicide.

Reid also encouraged a young Illinois Senator, Barack Obama, to run for president. Obama credited Reid with enabling the adoption of his broader agenda. Earlier, while serving in the Nevada State Assembly, Reid got enacted a requirement that utility companies pay interest on large deposits they demanded from customers and championed the Taxpayer Bill of Rights.

While in Congress, Reid consistently fought off efforts by President George W. Bush to privatize Social Security; NCL has long opposed the campaign to privatize this sacred program, which was conceived in the Progressive Era by NCL’s early leaders to protect older Americans from dire poverty. In addition, Reid’s federal environmental agenda took Nevada from 67,000 acres of wilderness to more than 4 million acres of new parks and open spaces and as Majority Leader, Reid shut off funding for the Yucca Mountain nuclear waste site — earmarked for Nevada — citing the health and safety risk to his constituents.

Harry Reid’s life was a true American “rags to riches” story. He rose from dire poverty in Nevada, raised with no running water, telephone, or indoor bathroom. He was elected at age 28 to the Nevada State Assembly and came to Washington, where he joined the U.S. Capital Police and attended George Washington Law School at night. Upon his return to Nevada, he headed the state’s gaming commission for five years; Reid is credited with routing out the influence of long entrenched organized crime from the casino industry.

Reid was elected to the U.S. Senate and eventually became Majority Leader. Though he was soft spoken, Reid used his amateur boxing skills to fight for the interests of consumers and workers. He used to say that “I always would rather dance than fight, but I know how to fight.”  Most Americans likely have no idea how important a force for good Senator Reid was, and achieving passage of the ACA was the highpoint of his career.

As Senator Joe Lieberman noted: “Harry Reid managed something that seemed almost unthinkable: he held every single Senate Democrat — 60 of them, at least at the crucial moment — together to vote for a sprawling, unpopular bill that raised taxes, cut Medicare spending, and insured tens of millions of Americans.”

Americans who today have access to affordable, high quality health care owe Senator Reid a huge debt of gratitude. His tremendous skill, persistence, and passion made the ACA a reality. Harry Reid got “health care for all” over the finish line in the Senate. The National Consumers League is honored to pay tribute to this truly great man.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NCL statement on passing of Pension Rights Center Founder Karen Ferguson

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December 30, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org or (412) 945-3242

Washington, DC—The National Consumers League mourns the death of lifelong pension rights lawyer and crusader who died Dec. 23, 2021. Ferguson founded the Pension Rights Center in 1976 with $10,000 in seed money from Ralph Nader.

Ferguson brought a deep intellect, kindness, and passion to the complicated field of pension rights. This statement is attributable to National Consumers League Executive Director Sally Greenberg:

We mourn the death of Karen Ferguson, who launched the Pension Rights Center when the landmark Employee Rights Income Security Act of 1974 (ERISA) was in its infancy.  Workers and retirees badly needed a voice to combat the powers of corporate interests who would try to reduce or eliminate pension protections and Karen Ferguson and the Pension Rights Center were that voice. Karen was equally comfortable talking to members of Congress as she was sitting down with workers concerned about losing their pensions. She also knew how to get things done and as a result, achieved signal wins — alongside her dynamic colleague Karen Friedman and devoted board of directors — like the Butch Lewis Emergency Pension Plan Relief Act and the Pension Counseling and Information Program under the Older Americans Act.

The National Consumers League salutes Karen Ferguson’s legacy and mourns her passing.

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.

NCL offers support for Increasing Access to Biosimilars Act (S. 1427)

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December 16, 2021

Media contact: National Consumers League – Carol McKay, carolm@nclnet.org or (412) 945-3242

Washington, DC—The National Consumers League (NCL) is pleased to support the Increasing Access to Biosimilars Act (S. 1427), as introduced by Senators Michael Bennet (D-CO) and John Cornyn (R-TX). This Act directs the U.S. Department of Health and Human Services (HHS) to launch a pilot program that increases Medicare payments for providers who use biosimilars. Representative Tony Cárdenas (D-CA) introduced a similar bill (H.R. 2869) in the House of Representatives.

Since 2014, the growth in pharmaceutical spending has been primarily driven by increased spending on biologic drugs. Biosimilars demonstrate no clinically meaningful differences in terms of safety, purity, and potency against their FDA-approved biologic counterpart, and are generally 15 percent to 35 percent lower in price. Therefore, biosimilars pose great potential to reduce health care costs.

The Increasing Access to Biosimilars Act would create a new pilot program administered by the Center for Medicare & Medicaid Innovation (CMMI) that aims to encourage physicians to prescribe less expensive biosimilars through shared savings. Shared savings is a payment strategy that offers providers a percentage of any net savings generated in order to reduce health care spending overall.

The following statement can be attributed to NCL’s Health Policy Director Jeanette Contreras:

“This legislation would not only broaden access to cost-saving biosimilars and reduce unnecessary spending on costly biologics, but it could also foster greater competition. In addition, it signals to future participants the viability of the biosimilars market, which is a win for consumers.

NCL believes that well-aligned payment incentives can steer providers toward cost-saving behavior with the overall objective of reducing Medicare expenditures. We strongly urge Congress to pass the Increasing Access to Biosimilars Act as the FDA continues to approve new biosimilars to market at increasing rates.”

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About the National Consumers League

The National Consumers League, founded in 1899, is America’s pioneer consumer organization. Our mission is to protect and promote social and economic justice for consumers and workers in the United States and abroad. For more information, visit www.nclnet.org.