Understanding Prescription Pricing

Understanding Prescription Pricing

The current scope of the American prescription drug market is virtually endless, with many different available options for drugs that claim to bring similar, if not the same, results. For consumers, especially those covered by Medicare Part D, knowing what specific drugs cost and whether or not they’re covered by a pharmacy’s formulary is becoming increasingly difficult.

Pricing for new drugs is generally not affected by pre-established competitors but, since they are placed under patent protection and receive a large amount of testing, the associated costs tend to result in higher prices for consumers. On the other end of the spectrum are generic drugs, which are time tested and out of patent protection – making them available to be sold by the FDA. While these drugs must meet the same standards for quality as newer examples, they do not require the extensive amount of testing that results in higher up-front costs.

With a large number of drugs with varying costs, consumers are often left paying too much for their prescriptions, doing so entirely unknowingly. Many people will try to circumvent this uptick in costs by shopping for drugs on their own but often forget to take into account their plan regulations, running the risk of getting potentially dangerous knock-off prescriptions.

As a PBM, the satisfaction and wellbeing of your patients should be a top priority and offering members options for less expensive, yet credible drugs can greatly enhance their experience. One way to do so is by investing in a program such as RxEOB’s WEB SERVICE RX℠ that can deliver drug pricing to your members by medication and benefit type. By recognizing an individual’s prescription claims and then comparing those to claims for other drugs, you can offer significant cost savings through the use of generic or less expensive prescriptions.

Working off the pricing analysis of more than 45 million patient pharmacy claims, WEB SERVICE RX℠ delivers personalized prescription data to a patient’s preferred communication channels in order to guarantee the highest quality of medicine at the lowest cost. To find out how you can help save your members the most on medications through the use of advanced portals, contact RXEOB today.