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Independent Drugstore Lobbyists Try to Pad Profits at the Expense of Small Business
Date:6/17/2011

WASHINGTON, June 17, 2011 /PRNewswire-USNewswire/ -- A new radio ad launched today in New York exposes a campaign to protect the independent drugstores' profits while raising costs for consumers and small businesses. Senate Bill 3510 and Assembly Bill 5502 would take away employers ability to save money by offering lower cost home delivery options for chronic medications.

Click here to listen to new ad

"Everyone knows that mail-service pharmacies save money for consumers, employers, unions and government agencies," said Pharmaceutical Care Management Association (PCMA) President and CEO Mark Merritt. "It's wrong for independent drug stores to try and enrich themselves at the expense of small employers struggling to offer affordable prescription benefits to their employees."

Home delivery of prescription medications offers consumers lower costs, convenience and access to private counseling from trained clinicians seven days a week, 24 hours a day. Numerous government and peer-reviewed studies have confirmed that mail-service pharmacies lower costs for consumers and payers, reduce dangerous medication errors, and increase adherence for those suffering from chronic conditions.

  • The Federal Trade Commission (FTC): The FTC concluded in a 2005 report that PBM-owned mail-order pharmacies offer lower prices on prescription drugs than retail pharmacies and are very effective at capitalizing on opportunities to dispense generic medications.
  • U.S. Government Accountability Office (GAO): In January 2003, the GAO examined the value provided by PBMs participating in the federal employees' health plan. For prescription drugs dispensed through mail-order pharmacies, the average mail-order price was about 27 percent below the average cash-price paid by consumers for a brand name at a retail pharmacy and 53 percent below the average cash-price p
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SOURCE Pharmaceutical Care Management Association
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