HOME >> MEDICINE >> NEWS
Higher cost sharing reduces plans' drug expenditures, but boosts enrollee costs

BETHESDA, Md.-Employer health plans that charge retirees higher copayments for retail pharmaceuticals saved themselves 18.7 percent per member on average in 2001, but their enrollees on average had 59.4 percent higher out-of-pocket costs ($389 versus $244), according to a new study published as a Health Affairs Web exclusive.

The study demonstrates the effects that plan design might have on costs and drug use under any Medicare prescription benefit, write authors Cindy Parks Thomas, Stanley S. Wallack and colleagues from Brandeis University's Schneider Institute for Health Policy. The authors write that the study shows that higher copayments lead to the use of less-expensive drugs and fewer retail purchases, although they argue that Medicare should consider using copayment strategies in combination with other cost-containment mechanisms such as encouraging generics, mail-order delivery of prescriptions, prior authorization, and provider education.

The authors studied prescription drug claims made by more than 29,000 retirees age 65 and older enrolled in 96 employer plans managed by one pharmacy benefit management firm. They compared prescription drug use and costs in a number of plan designs, including those with multiple "tiers" of benefits and cost-sharing requirements.

They compared plans with cost sharing categorized as "more-aggressive" and "less-aggressive," defined by whether they required an above- or below-average copayment for brand-name drugs, or whether they required coinsurance of more or less than 30 percent for brand-name drugs. The "more-aggressive" cost-sharing plans had average per-enrollee costs to the plan of $1,155 and average enrollee out-of-pocket costs of $389 in 2001. The "less-aggressive" plans had average per-enrollee plan costs of $1,421 and average enrollee out-of-pocket costs of $244 in 2001.

Enrollees in the more-aggressive plans had on average overall costs of $1,544 in 2001, compared to less-aggressive plans,
'"/>

Contact: Jon Gardner
jgardner@projecthope.org
301-656-7401
Health Affairs
4-Dec-2002


Page: 1 2 3

Related medicine news :

1. Higher folate intake associated with decreased risk of hypertension in women
2. Higher incidence of rejection following early steroid withdrawal
3. Higher radiation doses help some lung cancer patients live longer
4. Higher doses of cancer drug imatinib proven effective and safe
5. Higher dose of Gleevec leads to increased remission in CML patients
6. Higher education or larger brain size may protect against dementia later in life, new study finds
7. Higher nocturnal blood pressure predictive of kidney disease in diabetes
8. First quarter 2002 prescription drug spending: Higher again, but rate of increase drops
9. Higher rate of improvement, lower rate of adverse effects with clarithromycin for acute exacerbations of chronic bronchitis
10. Cancer Rates In Children Of Nuclear Industry Employees No Higher Than General Population In England And Wales
11. New Study Finds Blacks Face 38 Percent Higher Stroke Risk

Post Your Comments:
*Name:
*Comment:
*Email:


(Date:8/31/2020)... ... August 31, 2020 , ... ... 1,400 N95 face masks to medical first responders across the United States. Since ... donations of personal protective equipment (PPE) medical centers , hospitals , ...
(Date:8/31/2020)... ... 2020 , ... Smile Brands Inc., one of the nation’s ... today announced the grand opening of another affiliated Bright Now! Dental office ... hours, a comfortable office, and full-service care at the new Beaumont location. The ...
(Date:8/31/2020)... ... August 31, 2020 , ... Dr. ... with persons with autism and other developmental disabilities, as well as supporting staff ... education, adolescents with autism, school consultation, and staff development. She joined the company ...
(Date:8/28/2020)... ... August 28, 2020 , ... ... designed to help treat patients with respiratory conditions, including COVID-19, while reducing the ... and oxygen, but it captures exhaled gas and scrubs it free of carbon ...
(Date:8/28/2020)... ... August 28, 2020 , ... Ziegler, a specialty investment bank, ... in Synchronous Health, a tech-enabled behavioral health and well-being solutions provider. , ... with artificial intelligence (AI) to increase access and quality of behavioral health services, ...
Breaking Medicine News(10 mins):
(Date:9/1/2020)... ... September 01, 2020 , ... Mara C. Weinstein Velez, ... at the University of Rochester Medical Center, in Upstate New York. She completed ... with clinical faculty from the Harvard and Yale Departments of Dermatology and is ...
(Date:8/31/2020)... Israel (PRWEB) , ... August 31, 2020 , ... ... specialize in wellness-related technologies, today announced that they have invested $400,000 in PopBase, ... that ran in collaboration with the Global Wellness Institute (GWI). , The ...
(Date:8/28/2020)... ... ... Dr. Mark Surrey has been in practice for over 25 years. He ... the Department of OBGYN at UCLA’s David Geffen School of Medicine. , He ... is a Clinical Director of Fellowship Training for UCLA & Cedars Sinai Reproductive Endocrinology. ...
Breaking Medicine Technology:
Cached News: