BALTIMORE—Uninsured
consumers in Baltimore pay nearly 62 percent more for common
prescription drugs than what the drug companies charge the federal
government, according to a new Maryland Public Interest Research Group
(PIRG) report released today.
“When
46 million uninsured Americans go it alone at the pharmacy, they pay
the price,” said Maryland PIRG Policy Advocate Johanna Neumann. “With
no one to negotiate lower prices on their behalf, uninsured consumers
often face sticker shock when trying to afford medically necessary
prescriptions,” said Neumann.
In
the spring of 2006, Maryland PIRG teamed up with state PIRGs across the
country to survey more than 600 pharmacies in 35 cities to determine
how much uninsured consumers pay for 10 drugs when compared with prices
paid by the federal government, which uses its buying power to
negotiate with drug companies for lower prices. While many studies have
focused on the impact of high drug prices on senior citizens, Maryland
PIRG’s survey examined the prices uninsured consumers pay for a range
of prescription drugs widely used by Americans under 65, such as
antibiotics, allergy medication, anti-depressants, and
cholesterol-lowering medication.
Among the survey’s key findings:
•
In Baltimore, uninsured consumers pay 62% more than what the federal
government pays for the same drugs, ranking the city 14th out of the 35
cities we surveyed.
•
The uninsured in Baltimore pay more than twice as much for their
medication at local drug stores than they would pay at a Canadian
pharmacy. The hormone replacement drug Premarin costs 566.7% more at
Baltimore drug stores than it does at a Canadian pharmacy.
•
In 2004, Maryland PIRG released a similar study of prescription drug
prices. Looking at the nine drugs we surveyed both in 2004 and 2006,
the average price paid by uninsured consumers in Baltimore increased by
10%, faster than the general rate of inflation over the two-year
period.
“Hard-working
Americans use prescription drugs for healing and relief as they try to
keep working. The high price of prescription drugs puts a serious
strain on the work and day-to-day activities of millions of Americans,”
said Ezekiel Jackson, Lead Organizer for Maryland for Health Care.
“Accessible
and affordable health care including medically necessary
pharmaceuticals should be the norm, not the exception,” said Janet
Selway, a nurse practitioner and member of the Maryland Nurses
Association.
Maryland PIRG called for increasing the
availability of low cost generic drugs by closing loopholes that allow
drug makers to hold on to their patents and tightening oversight of
drug makers’ marketing tactics, which drive up demand for the newest
and more expensive drugs regardless of effectiveness. Maryland PIRG
also supports creating prescription drug buying pools at the state
level to allow individuals (including the uninsured), businesses and
the government to use their combined buying power to negotiate lower
drug prices with manufacturers.
"Last
year, the General Assembly took an important step by passing
legislation which would reduce prescription drug prices for lower
income Marylanders. Unfortunately, the Bush Administration has been
dragging its feet on the necessary federal waivers to allow this law to
take effect. We demand that the Governor Ehrlich use his special
relationship with President Bush to make this waiver happen so that
tens of thousands of Marylanders can better afford critical
prescription drugs," said Vincent DeMarco of the Maryland Citizens'
Health Initiative.
“This
report clearly shows that we need innovative policies to help uninsured
consumers afford their prescription medication,” said Neumann.
