Daily overview

Selection from Decision-Making Practice – 21/2026

Pharmeca a.s. 01. 10. 2026

The State Institute for Drug Control (the Institute) received an application from the General Health Insurance Company of the Czech Republic (VZP) for a change in the amount and conditions of reimbursement from public health insurance for selected orphan medicinal products, based on the following statutory provision:
“In the event of a significant change in the price references of an orphan medicinal product, the Institute shall, upon application by a health insurance fund, initiate proceedings pursuant to Section 39i to change the amount and conditions of reimbursement of the orphan medicinal product.”
This provision has been effective since 1 January 2026 following the amendment to the Act.

VZP’s application specified price references indicating a change in the price references and, consequently, a change in the reimbursement amount.
The Institute subsequently issued a decision in the proceedings changing the reimbursement of the medicinal product concerned.
During the proceedings, price references were identified that could potentially support the conclusion that a significant change in price references had occurred. However, in its decision, the Institute did not address whether it actually considered the identified change in price references to be significant, nor did it indicate the percentage change in price references that would be required for a change to be considered significant.
Although the Institute granted VZP’s application in full, VZP appealed against the decision after it had been issued in order to withdraw its application in its entirety. Following the withdrawal of the application, the proceedings were discontinued.

The Institute addressed the interpretation of the term “significant change in price references” in another proceeding concerning a change in the reimbursement of an orphan medicinal product on the same grounds. A party to the proceedings argued that, according to the explanatory memorandum, a significant change in price references should be in the range of tens of percent, which was not the case in the proceedings concerned, and that the Institute had failed to address whether or not a significant change in price references had occurred.
The Institute stated that the term “significant change in price references” is not defined by law and that the law does not require the Institute to define this term in abstract terms beyond the wording of the Act. Although the Institute acknowledged the reference to the explanatory memorandum, it emphasised that the explanatory memorandum is not a legally binding document for decision-making purposes and cannot substitute for the law. According to the Institute, the fact that the explanatory memorandum mentioned a potential decrease in the range of tens of percent does not mean that only a price reduction of such magnitude can constitute grounds for initiating proceedings.
The Institute also pointed out that proceedings in the event of a significant change in price references are initiated upon application by a health insurance fund. According to the Institute, it is the health insurance fund that, by submitting its application, implies that the change in price references in the particular case is sufficiently relevant to warrant consideration by the Institute in administrative proceedings.

The Institute entirely refrained from assessing whether the statutory condition of a significant change in price references had been met, even though this condition is essential for the initiation of the proceedings.


Are you interested in reading regular commentaries on decisions by Pharmeca a.s.? Feel free to contact us.  

At Pharmeca, we help you navigate the complex landscape of pharmaceutical and medical device information. We also offer flexible services that can be tailored to your needs at any time.

Our market position and experience allow us to support you whenever you need expert guidance.

Our knowledge, your opportunity.

 

Articles on decision-making practice are based on publicly available texts from the decisions of the Ministry of Health of the Czech Republic and the State Institute for Drug Control (SÚKL).

A continuously updated overview of decisions issued by SÚKL and the Ministry of Health in the field of pricing and reimbursement is available on the Pharmeca a.s. website.

The English translation was prepared using the latest available ChatGPT model.

Back to news listing