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PCMA: Eight Ways to Reduce Federal Health Spending and Improve Prescription Drug Benefits in Medicare and Medicaid
Date:10/23/2013

uce costs without compromising quality or access.

  • Expedite the Approval of Biogenerics.  As the number and cost of expensive biologic drugs drastically increase, so does the urgency to begin the approval pathway for biogenerics. Reducing the number of years a drug company has "exclusivity" or monopoly pricing power would increase competition and lower costs for payers and consumers. The President's budget proposes to "accelerate access to affordable generic biologics by modifying the length of exclusivity on brand name biologics." According to the budget, these changes would result in $3 billion in savings for Medicare and Medicaid over 10 years.

  • Ban a Tax Deduction for Direct-to-Consumer (DTC) Drug Advertising.  DTC drug advertising is a key tool used by brand drug manufacturers to drive consumers to take brand medications. The costs of this advertising are tax deductible. While the First Amendment allows for such advertising, it does not require taxpayers to subsidize promoting the most expensive drug treatments.
  • PCMA represents the nation's pharmacy benefit managers (PBMs), which improve affordability and quality of care through the use of electronic prescribing (e-prescribing), generic alternatives, mail-service pharmacies, and other innovative tools for 216 million Americans.

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    SOURCE Pharmaceutical Care Management Association (PCMA)
    Copyright©2012 PR Newswire.
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