Uninsured consumers
in Denver are charged 77 percent more for prescription drugs than the best available
market prices, according to a
survey released today by CoPIRG. The group criticized the failure of
Colorado policymakers and Congress to enact adequate reforms, urging Colorado
lawmakers to pass a statewide buying pool for prescription drugs.
"When 700,000 uninsured
Coloradans 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 Nicole A. Boojamra, staff attorney
with CoPIRG. "Worse, uninsured consumers are charged up to six times more
for prescription drugs purchased from American pharmacy than they would pay
for the exact same prescription at a Canadian pharmacy," she continued.
Late last summer, CoPIRG
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 federal government—one of the
pharmaceutical industry's "most favored" customers. While many previous
studies have focused on drugs commonly prescribed to senior citizens, CoPIRG'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 Denver, Colorado
and national findings of the report were the following:
Denver Findings:
• On average, uninsured
consumers in Denver are charged 77 percent more than the federal government
for 12 common prescription medications
• Uninsured consumers in
Denver pay 73 percent more for Zithromax—the most commonly dispensed antibiotic
in America—as 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 Denver are charged 102 percent more-more than twice as much—for
nine drugs purchased at their local pharmacy, than they would pay if they purchased
the same nine drugs from a Canadian pharmacy.
Nationally:
• Uninsured Americans pay
78 percent more on average for 12 common prescription medications than the federal
government. The price differences ranged from 41 percent more for Ambien to
162 percent more for Synthroid.
• Many of the drugs featured
in the PIRG 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 $1,120 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 $463.
• Uninsured consumers, on
average, pay 105 percent more at an American pharmacy than at a Canadian pharmacy,
more than twice as much for 9 common prescription medications. The price differences
ranged from 44 percent for Norvasc to 530 percent for Premarin.
• An uninsured woman would
pay on average $465 for a year's supply of Premarin—a necessary hormone
treatment for millions of women. A woman purchasing her year's supply of Premarin
from a Canadian pharmacy would pay $74—she could save $391 dollars a year
by purchasing her Premarin from Canada.
"HMOs and the federal
government use their buying power to negotiate better prices for the drugs they
purchase," continued Boojamra. "Unfortunately, uninsured Americans
have no one doing the same on their behalf, so uninsured Americans struggle
to pay for needed medical treatment.
CoPIRG urged Congress to
pass the Dorgan-Snowe bill to legalize prescription drug importation from pharmacies
in Canada and other countries with regulatory systems similar to the U.S. "Despite
the growing popularity of prescription drug importation, Congress failed to
pass bipartisan legislation which would have given 45 million uninsured Americans
access to low-cost prescription drugs," said Nicole A. Boojamra. "Colorado
consumers need immediate price relief from the high cost of prescription drugs."
CoPIRG urged Colorado policymakers
to enact 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;
• Restricting drug company
marketing to doctors, and
• Establishing programs
that compare similar, competing drugs so that consumers and state programs have
the information needed to purchase the cheapest, safest and most effective drugs.
"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 Nicole A. Boojamra. "Otherwise, Colorado consumers will keep
on paying the price."
