February
2007 »
Generic Drugs Growing
More Popular in Medicare Drug Program
08 February, 2007
Nearly 60 percent of the drugs being
sold in the Medicare Prescription Drug Plans and the
Medicare Advantage plans are generic
drugs, according to new data released by the Centers
for Medicare & Medicaid Services.
It indicates, according to CMS, that
more Americans are cutting their prescription drug costs
by switching to generic medications. The exact percentage,
59.6%, reflects activity through the third quarter of
2006.
Generic medications are as effective
as their brand-name counterparts and offer significant
savings. Although heavily promoted by many senior citizen
advocates and government leaders, senior citizens have
been slow to make the change.
CMS promotes the use of generic drugs
as a way for enrollees in the Medicare drug benefit
to avoid or slow down reaching the coverage gap known
as the "donut hole." By purchasing the lower
cost generics, seniors can buy many more weeks or months
of their prescriptions before hitting the cap that sends
them in to the "donut hole," where there is
not drug coverage but premiums continue.
The most recent CMS data shows that
generic drug use among those enrolled in the Medicare
drug benefit is 13 percent higher than the private third-party.
CMS says this demonstrates that the Part D program is
"delivering savings well above the national average
to beneficiaries and the government alike."
According to the National Association
of Chain Drug Stores (NACDS), generic dispensing has
increased among private third-party payers growing by
9% over the past year—from 48.4 percent in 2005
to 52.6 percent in 2006.
To read more, visit:-
http://www.seniorjournal.com/NEWS/MedicareDrugCards/2007/7-02-08-GenericDrugs.htm
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