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Journeyman


Reged: 07/17/03
Posts: 52
Loc: Iowa
Prilosec Meds
      #129194 - 01/15/04 09:01 AM

Now that Prilosec is OTC you would think the OP's would lower their prices accordingly.........Not so!

I've interacted with four OP's about not needing a prescription anymore and if their costs will come down. I like the fact that I can have it delivered without going to the local pharmacy.

In each case these OP's, which all charge close too if not over $100.00 for #30, 20mg capsules all said no. I told them I could go to the local Walgreens and get #28, 20mg caps OTC for $17.99. It's the same med, just OTC now.

All the OP's said they would not be changing their pricing for Prilosec.

Conclusion........what a bunch of greedy Bas*****!


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NJ_Hoss
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Reged: 10/29/03
Posts: 263
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Re: Prilosec Meds [Re: domain]
      #129204 - 01/15/04 09:30 AM

There's actually a very valid reason for this which originates in the foundations of how the pharmacy indurstry operates.

Manufacturers maintain their pricing for the prescription version of medications who have gone over the counter, because at those dosage levels, it becomes a prescription item which is reimbursable by insurance. (More than 90% of prescriptions dispensed in the U.S. are primarily insurance reimbursed). Pharmacies still pay considerably higher prices for these medications from their wholesalers and manufacturers, even though the OTC versions are sold much less expensively. Even medications like Ibuprofen, Naproxyn, Tagamet, Zantac, and a host of others are still available in presription-only doses. And while exceptions are the only rule, this is relavent to all but a few exceptions, of which none come to mind off-hand.

So, why don't doctors just tell their patients to take the equivalent amount of an OTC version to equal a prescription dose? There are several reasons. First of all, for patients with insurance, it makes it non-prescription which is covered (in all but the most rare cases and third-party plans). Second, when it comes to prescribing, the rate of compliance, which is the degree to which patients take their medications as prescribed, is HIGHLY affected by the number of times, number of doses, and the manner in which customers much take their prescribed meds. This is why insurers will still pay the premiums for prescription doses, as there is some valid medical basis that there is a tangible potential benefit to the patient.

This concept is also demonstrated in medications that may change delivery mechanisms, like Oxycodone to OxyContin, and Prozac to Prozac Weekly. Regarding Oxycodone, it has been available for decades. However, because OxyContin was intended to provide a sustained level of pain management around the clock with only 2 or 3 dosage intervals per day, and combined with its theoreticaly low abuse potential, it commanded its relatively exhorbitant price, in some cases, more than 1000%, yet even insurers who require generic usage will cover OxyContin based on its therapeutic merits. Prozac, which went off patent, is chemically identical to the active ingredient in Prozac Weekly. Insurance plans that cover Prozac were rejoicing when its patent expired, and insurers rejoiced as they would be able to cover far less expensive generic versions of the anti-depressant. However, because compliance can be so much better for patients who take Prozac Weekly, (the problem with a lot of anti-depressants is that people stop taking them when they perceive themselves as feeling better, which permits depression to recur) insurers typically cover the hugely expensive new version in recognition of its improved compliance.

Yes, in many cases, it is a matter of pharmaceutical companies maintaining the highest possible prices, and despite the fact that the end result is never seen directly by most patients (as 90%+ of prescriptions are insured), of course the costs are eventually paid by those who pay insuranc premiums etc... that's a WHOLE different discussion for another thread, indeed probably another board altogether. Nevertheless, when such a pricing discrepancy exists for what should seem to be a different dosage of an identical medication, there is invariable some therapeutic basis for justification.


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dsmmcm
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Reged: 11/08/03
Posts: 364
Loc: southwest US
Re: Prilosec Meds [Re: NJ_Hoss]
      #129241 - 01/15/04 11:33 AM

NJ,
So which pharmaceutical company do you work for? hehehe. Your dosage argument doesn't work in this case. As I understand it, OTC prilosec is exactly the same dosage as the prescription version. And the fact that the manufacturer now charges many times less for it than they did just a few years ago shows that they were perfectly willing to rip off their customers. You want the insurance companies to pick up the difference? That's why so many of us can't afford insurance.


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NJ_Hoss
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Reged: 10/29/03
Posts: 263
Loc: USA
Re: Prilosec Meds [Re: dsmmcm]
      #129246 - 01/15/04 11:56 AM

I don't work for a pharmaceutical company and I don't want anything. I'm not advocating any policy or process, I simply explained the reason for their existence.

However, if the insurance companies did not feel that it was in their long-term best interest, they simply would not cover the medication as part of their formulary, and many insurance companies do not cover certain medications, or certain dosage forms. Specifically regarding Prilosec, the prescription is a capsue, while the other is a tablet, and fewer and fewer insurance providers are providing coverage for the prescription version, as there is not a substantial therapeutic benefit between the capsule and tablet form of this drug. Insurance companies do very little that is not in their own best interest, and if they cover a drug, they feel it is for either the benefit of their members or the current expense is likely to help them avoid having to pay for MORE expensive therapies down the road.

Declining pricing is absoltuely commonplace. Were there as many competitors to Prilosec years ago? Had the company already recovered their research and development costs? Would YOU develop any product and sell it for less than the most others would pay? Even more so, would you invest money in someone who was willing to do so? If so, bravo; but that's not the way the majority of the world works, my friend. I'm not advocating it, I'm just describing it.

As for the general cost difference between an equivalent medication being more expensive by prescription, well OF COURSE it's going to be. No pharmacist is involved in its dispensing, there is no additional packaging cost, or the labor to handle the prescription once it has been filled. Not a complicated formula.

Now, if you are standing in a pharmacy, and you have a choice between choosing the prescription version of Prilosec at $120.00 or buying the OTC at $30, and you choose to purchase the prescription, that's your own Best if kept off the board fault.

However, you also have to ask yourself the question that if your doctor hands you a prescription for Prilosec, and your insurance will cover it for a $5.00 copay, do you go ahead and have it filled, or do you pick up the OTC and shell out the $30 on behalf of keeping insurance costs low?

If you want to complain about the high cost of medication, price gouging manufacturers, or whether or not you can afford your own health insurance, fine; but you have to be willing to do two things. First, be willing to step out of the vaccuum and factor in the real world which includes real considerations that insurance plans typically change their coverage formularies annually during the enrollment periods, and drugs come off patent or get OTC approval on a schedule of their own, and may be contractually obligated, or choose to provide coverage for certain medications in the interim. Second, you have to be willing to take it somewhere else, because I have only been explaining a process to you and some of the reasons it exists. I haven't advocated right or wrong in favor of anyone or anything, and I have NO idea why you would imply that I had.


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dsmmcm
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Reged: 11/08/03
Posts: 364
Loc: southwest US
Re: Prilosec Meds [Re: NJ_Hoss]
      #129251 - 01/15/04 12:25 PM

I haven't advocated right or wrong in favor of anyone or anything, and I have NO idea why you would imply that I had.

NJ, Wasn't trying to imply anything. We just have a different perspective on this one.


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NJ_Hoss
Enthusiast


Reged: 10/29/03
Posts: 263
Loc: USA
Re: Prilosec Meds [Re: dsmmcm]
      #129291 - 01/15/04 02:12 PM

Wasn't aware I had offered my perspective, just described the process, that's all. ROFL

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