Rx Financing: If It Doesn’t Make Sense It Does

By Bill Rusteberg

Why do we need insurance when 85% of the 26,715 FDA approved drugs covering every therapeutic class are low-cost generics with most costing $4 – $10 for a 30-day supply and the national average including higher cost generics costing an average of $35-$45?

The answer is obvious. Plan sponsors want to pay more for less while plan members have come to expect free upfront financing minus a nominal co-pay that can often be more than the cost of the drug.

In American health care finance if something doesn’t make sense it does. And that’s the way it is.