BOSTON—Uninsured consumers
in Massachusetts are charged on average, more than twice as much—117 percent
more—for drugs purchased at their local pharmacy than they would pay if they
purchased the same drugs from a Canadian pharmacy, and 89 percent more than
the federal government pays according to a
survey released today by the Massachusetts Public Interest Research
Group, (MASSPIRG).
Consumer groups, physicians,
and lawmakers criticized the failure of Congress and the legislature to enact
adequate prescription drug price reforms, and called for the prompt passage
of the Prescription Drug Fair Pricing Bill and the Reimportation Bill, two drug
price reform bills in Massachusetts which have not passed despite overwhelming
support by legislative members and the public.
“When 45 million uninsured
Americans go it alone at the drug store, they pay the price—often twice as much
as the federal government pays when it buys the exact same drugs for federal
agencies and programs,” said Deirdre Cummings, MASSPIRG’s consumer program director.
“Worse, uninsured consumers are charged up to six times more for prescription
drugs purchased from an American pharmacy than they would pay for the exact
same prescription at a Canadian pharmacy,” she continued.
Late last summer, MASSPIRG
and state PIRGs across the country surveyed nearly 500 pharmacies in 19 states
and Washington, DC in order to determine how much more uninsured consumers pay
for 12 commonly prescribed medications than the federal government—one of the
pharmaceutical industry’s “most favored” customers. While many previous studies
have focused on drugs commonly prescribed to senior citizens, MASSPIRG’s study
examined the prices consumers pay for a range of prescription drugs widely used
by Americans under 65—from an antibiotic used to treat temporary acute infections,
to a long-term medication used to reduce the risk of heart attack.
Among the key Massachusetts
and national findings of the report were the following:
Massachusetts findings
- On average, uninsured consumers in Massachusetts are charged 89 percent percent more
than the federal government for 12 common prescription medications.
This is slightly higher
than the national average of 78 percent. The price differences in Massachusetts
ranged from 50 percent more for Ambien to 162 percent more for Synthroid.
- Uninsured consumers in Massachusetts pay 87 percent more for Zithromax—the
most commonly dispensed antibiotic in America—than the federal government pays
for the same medication. Zithromax is an antibiotic prescribed to treat various
bacterial infections, including pneumonia.
- On average, uninsured
consumers in Massachusetts are charged 117 percent percent more—more than twice
as much—for 9 drugs purchased at their local pharmacy, than they would pay if
they purchased the same 9 drugs from a Canadian pharmacy. The price differences
ranged from 57 percent more for Norvasc to 533 percent for Premarin.
- Many of the drugs featured
in the MASSPIRG survey treat chronic conditions—meaning that even small savings
add up quickly. An uninsured person regularly taking Allegra to control their
allergies, for example, would pay on average $1201 for a year’s supply of Allegra.
The government, on the other hand, would pay only $657 for the same quantity
of Allegra—a savings of $544.
- An uninsured woman in
Massachusetts would pay on average $1349 for a year’s supply of Singulair—asthma
and allergy medicine. A woman purchasing her year’s supply of Singulair from
a Canadian pharmacy would pay $746—she could save $603 dollars a year by purchasing
her Singulair from Canada.
"The price gouging and manipulation
of the pharmaceutical industry is costing us all, but hitting the uninsured
the hardest, literally costing some their lives by keeping medications out of
financial reach. I am hopeful that the change of leadership in the House will
allow my reform package, which includes fair pricing, discount cards for the
uninsured and reimportation programs, which has been passed by the Senate numerous
times, to finally pass the House and thus bring real reform to those described
in this report," said Senator Montigny, a long time champion of prescription
drug pricing reform.
"Our efforts are a prescription
for this country's prescription drug pricing woes," said Senator Jarrett T.
Barrios (D-Cambridge), lead sponsor of the reimportation bill.
"Uninsured consumers struggling
with the high cost of their medicines have been left in the dark by the failure
of President Bush to reduce prices and Gov. Romney's refusal to actively support
solutions such as Prescription Advantage and bulk purchasing. It’s time to allow
residents to use the free market to save thousands of dollars a year in drug
costs."
"Day in and day out, my patients report difficulty paying for their medicines,
especially the uninsured and the elderly. There's no reason why they shouldn't
pay the same discounted prices the federal government and everyone else pays”
said Dr. Greg Schwartz, an internist at Massachusetts General Hospital who is
a primary care physician."
Isaac Ben Ezra, President of Mass Senior Action Council, said “Massachusetts
consumers need immediate price relief from the high cost of prescription drugs.
The Rx Fair Pricing bill we all support doesn’t impose price controls but it
does require the state to negotiate for lower prices on behalf of its citizens.
At the urging of the pharmaceutical industry, Medicare subscribers have been
denied this leverage by Congress. Massachusetts should take a different course.”
MASSPIRG urged lawmakers
and the Romney administration to enact or implement state policies to lower
the price of prescription drugs, such as:
- Establishing prescription
drug-buying pools that allow businesses, state agencies and uninsured individuals
to use their combined buying power to negotiate lower drug prices, the administration
has refused to implement part of the prescription drug buying pool previously
adopted by the legislature;
- Restricting drug company
marketing to doctors; and
- Requiring state to provide
information to consumers about how to purchase prescription drugs from Canada.
“Solutions to dramatically
lower the cost of prescription drugs abound; it’s time to fight back against
the drug companies and pass some laws to lower the price of prescription drugs,”
concluded Cummings “Otherwise, Massachusetts consumers will keep on paying the
price.”