Generic Drugs Saved Minnesotans $3.3B Last Year
Annual savings for generic prescription drugs versus alternative options totaled $3.3 billion for Minnesota last year, a recent report finds.
Data compiled in the Generic Pharmaceutical Association (GPhA)’s 2016 Generic Drug Savings and Access in the United States report found that hundreds of millions of dollars were saved across each health insurance type.
Patients enrolled under Medicaid saved $523 million in the state, while Medicare enrollees saved $983 million altogether. Non-insured patients racked up $202 million in savings, and commercially insured individuals saved $1.6 billion.
Across the entire country, generic medicines drove savings of $227 billion in 2015, the GPhA said.
“Generic drugs are the foundation of any successful effort to lower health spending and increase patient access to affordable medicine,” said Chip Davis, CEO of the GPhA, in a statement. “A diverse group of experts—the federal government, pharmacy benefit managers, consumer groups and others—agree that generic drugs drive system savings, not costs. More can be done to increase patient access to save, effective and more affordable generic medicines.”
Generic medicines, on average, cost 40 to 60 percent less than brand-name drugs, according to Blue Cross Blue Shield. Savings can even go as high as 90 percent.
In America, generic medicines make up 89 percent of all prescriptions dispensed, but only 27 percent of total drug costs.