How Generic Drugs Could Save Healthcare $44B

An analysis of 1.6 million physicians nationwide showed if physicians committed to generic drugs over brand-name drugs, the U.S. could save a potential $44 billion in prescription drug costs over the next 10 years, according to a report from ProPublica.

Approximately 900 physicians were among the worst offenders, prescribing an extra $300 million worth of brand-name drugs in total and each writing more than 5,000 prescriptions in 2011. Approximately 50 percent of these physicians have received at least $1,000 from a drug company since 2009, according to the report.

The report notes much of this "wasteful" spending occurs under Medicare Part D, whose 11 million beneficiaries pay no more than $7 per prescription, regardless of whether or not the prescription is for a brand-name drug.

Part D prescription spending differs greatly according to zip code in the U.S., with the percentage of brand-name drugs as high as 50 percent in some areas. This number is generally lower around academic medical centers and often higher around private practices, according to the report.

More Articles on Quality:

Study: Pediatric Surgical Patients Account for 43% of Pediatric Antibiotic Therapy

Dr. Marty Makary: The One Thing No Hospital Can Ignore

Medication Adherence Improved Through Home Delivery

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Featured Whitepapers

Featured Webinars