Need Help with Rising Prescription Drug Costs? Drug prices in the US have increased by 32% in the past five years, with some specialty medications such as the ones used for the management of rheumatoid arthritis or treating anaphylaxis experiencing as much as a 90% price increase. [1] The increasing cost of prescriptions is fueled further due to the introduction of new brand biologics and branded medications that face no competition for years. Branded drugs account for the major share of healthcare products used by the people in the US. Insurance plans negioate with manufacturers and they will often choose to cover medications that provide the highest rebate payments back to the plan, this is not beneficial for the patients but helps the pharmacy benefit managers and employers who are negotiating contracts.
Contributing factors for medication price rise Due to the inception of Medicare and Medicaid programs, manufacturers have been able to increase the cost of medications. Population aging, a growing number of people with chronic illnesses such as diabetes and blood pressure, and increased utilization of medical services are among the contributing factors for the rising healthcare costs in the USA. High premiums, deductibles, copays and out-of-pocket expenses further add to the cumulative increase in healthcare costs. A final factor in the rising drug prices is the growing use of personalized medicine and customized drug therapy. By enabling each patient to receive earlier diagnosis and optimal treatments, personalized medicine helps in improving patient outcomes. These precision medicines provide predictable and powerful healthcare that is customized for the individual patient, and are usually expensive.
Generics and biosimilars to lower medication prices Changing patent protections and allowing more generics to enter the markets can help in lowering the medications’ price. Generics have the same active ingredient as the brand-name