More people abandoning prescriptions

(Drug Topics) There has been a continued increase in the rate of prescription abandonment among consumers, according to an annual analysis of the pharmaceutical market by Wolters Kluwer Health.

Looking at U.S. commercial plan claims for 2008, Wolters Kluwer found that prescription abandonment increased by 34 percent nationally compared to 2006 — jumping from an average of 5.15 percent in 2006 to 6.8 percent in 2008. Not surprisingly, the company also found correlation between abandonment increases and co-payment increases, especially for new prescriptions.

“Price sensitivity is clearly a factor as consumers decide to forego certain prescriptions altogether, including some for chronic conditions,” said Mark Spiers, president & CEO, Wolters Kluwer Health, Pharma Solutions. “This disturbing trend may have serious health implications and seems poised to continue especially if the economy deteriorates further.” The Wolters Kluwer Health analysis, known as Pharma Insight, also shows that generic medications continue to make significant gains over brands by grabbing more than 60 percent of all U.S. prescriptions filled in 2008, and an even greater percentage of the subset of drugs taken orally. According to the data, there were 2.4 billion prescriptions filled for generic drugs and only 1.4 billion for brand-name medications.

According to the data, U.S. prescriptions for generics and brands were balanced in 2005, and then generics continued to build momentum each year thereafter increasing at a compound annual growth rate (CAGR) of 12 percent since 2004, while branded drugs slowed pace to a negative 6 percent CAGR for the same period.

“We’re close to the point, certainly by the end of 2009, where two-out-of-every-three prescriptions filled will be generic,” Spiers said. “These trends are going to become even more pronounced moving forward as there are many blockbusters in major therapeutic areas like cholesterol reducers due to come off patent in the coming three years.

The volume of available generics will increase, and there are very few new ‘blockbuster’ drugs in the pipeline to replace them.” According to Spiers, many factors contribute to the growth of generic prescriptions in America, among the most prevalent: patient education, awareness and changing attitudes. “Patients are becoming far more comfortable with the concept of using a generic in place of a brand.

This, in part, is due to patient education programs and enthusiasm forged by marketing vehicles such as $4 generic drug programs,” Spiers said. The data also suggest that the economy is playing an enormous role in patient decision-making. As third-party insurers set higher co-pays for brands, patients are reacting by forcibly choosing generic alternatives.

That’s why Spiers said he believes abandonment will continue to plummet in the future. He suggested the economic downturn is going to further drive this demand and further spur prescription abandonment.

“Increased unemployment and high numbers of newly uninsured are encouraging patients to look for ways to cut costs,” added Spiers. “Choosing a generic over a brand fits right into that mindset.”