NU Online News Service, June 18, 3:25 p.m. EDT
The wholesale price for generic drugs rose substantially less than for brand drugs, according to a report on medical spending for workers' compensation claims.
Westerville, Ohio-based Progressive Medical Inc. released its 2010 Drug Spend Analysis today.
The report reveals changes in medication spending on workers' compensation claims from 2008 to 2009 for Progressive Medical clients, as well as key factors that may influence future expenditures, such as price, utilization and product mix changes.
Key highlights from the 2010 Drug Spend Analysis include:
o Average wholesale price inflation was 5.2 percent, which comprises an 8.1 percent increase for brand products and a 0.2 percent increase for generics.
o While the number of days' supply dispensed per prescription decreased by 1.5 percent, prescriptions per injured party increased 4.2 percent.
o The net effect of increased use of generics overall from 2008 to 2009 is a 2 percent reduction of total medication spending.
o Fourteen of the top 25 medications show a decrease in spending per injured party from 2008 to 2009.
o Narcotic analgesic-acetaminophen combinations currently represent 20 percent of workers' compensation prescriptions with more than 90 percent dispensed as generic.
"This analysis strongly highlights the value of putting strategies into place to control medication spending," said Tron Emptage, executive vice president of Business Development. "An effective pharmacy benefit management program can help workers' compensation payers realize savings as much as 10-to-15 percent per claim."
A copy of the 2010 Worker's Compensation Drug Spend Analysis is available at the company's website.
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