Preferred Prescription Drug Providers Can Save Companies Money
As the costs associated with prescription drugs continue to rise, more and more companies are partnering with preferred providers to help control the costs of prescription drugs for their group benefit plans.
It turns out, companies have good reason to partner with preferred providers. A study by Consumer Reports looked at price differences of generic drugs at various US pharmacies – the results were shocking. In one example, the price for the generic version of Crestor varied from $15 to $150 for the exact same product in the exact same quantity (depending on where it was purchased)!
Canada has introduced legislation to help regulate the price of generic drugs, but the underlying concept of different providers charging different fees for various aspects of prescription drugs is still valid.
In Canada, some companies are partnering with Central Dispensing Pharmacies, or big box chains like Costco to help secure discounted prices for prescription drugs. Depending on the price disparities, companies can save a lot of money by directing Plan Members to purchase drugs from specific locations.
To read more about the Consumer Reports Study, click here to view an article in Time Magazine.