# New Discounted Medications Program For Those With No Drug Coverage



## M&M (Jan 20, 2002)

Also posted to the Co-Cure List:*************************************************Group of Drug Companies Launch Program To Provide DiscountedMedications to Those Without Drug CoverageAccess this story and related links online: http://www.kaisernetwork.org/daily_reports...cfm?DR_ID=27596 Eleven pharmaceutical companies on Tuesday announced a newprescription drug discount card program for uninsured U.S.residents that will provide "significant" discounts on 275brand-name medications, the Boston Globe reports (Rowland,Boston Globe, 1/12). The Together Rx Access program is acollaborative effort among Abbott Laboratories; AstraZeneca;Bristol-Myers Squibb; GlaxoSmithKline; Janssen Pharmaceutica andOrtho-McNeil, subsidiaries of Johnson & Johnson; Novartis;Pfizer; Sanofi-Aventis; Takeda Pharmaceuticals; and TapPharmaceutical Products (Snyder, Arizona Republic, 1/12). Thepharmaceutical companies announced the program on Tuesday at anews conference with HHS Secretary Tommy Thompson and infull-page advertisements in newspapers nationwide (Boston Globe,1/12). The program is similar to a current prescription drugdiscount card program, Together Rx, which is a collaborativeeffort among seven pharmaceutical companies to provide discountson medications for Medicare beneficiaries (Japsen, ChicagoTribune, 1/12). The federal government has no role in the newprogram.Program DetailsU.S. residents younger than age 65 who are not eligible forMedicare and do not have public or private prescription drugcoverage will qualify for Together Rx Access, "the latest effortby drug makers to meet public demand for their products whiledispelling public anger about prices," the New York Timesreports. In addition, annual income levels for programparticipants must not exceed $30,000 for individuals, $40,000for couples, $50,000 for a family of three and $60,000 for afamily of four (Pear, New York Times, 1/12). The pharmaceuticalcompanies estimate that about 80% -- or 36 million -- of the 45million uninsured U.S. residents will qualify for the program(Arizona Republic, 1/12). The program will provide discounts on275 brand-name prescription drugs -- such as theanti-cholesterol treatments Crestor and Lipitor, the heartburnmedication Nexium, the erectile-dysfunction treatment Viagra,and the antidepressants Zoloft and Paxil -- as well as a numberof generic medications. Discounts for brand-name treatments willrange from 25% to 40%. Patrick Kelly, a vice president ofPfizer, said that total savings for program participants willdepend on individual discounts provided by pharmacists, as wellas pharmaceutical companies. Roba Whiteley, executive directorof Together Rx Access, said that each of the 11 pharmaceuticalcompanies decided which of their products the program wouldcover and the level of discounts on those medications. She addedthat most pharmacies nationwide will accept the Together RxAccess cards by mid-February, when the program begins. However,she did not specify which pharmacy chains will participatebecause "negotiations are still under way" (New York Times,1/12). Potential participants can enroll in the program onlineor call a toll-free telephone number (Pugh, PhiladelphiaInquirer, 1/12).Pharmaceutical Company Comments"We saw the opportunity to ... reach a different segment of thepopulation. We saw a need," David Brennan, CEO of U.S.operations for AstraZeneca, said (Chicago Tribune, 1/12). DavidMartin, president of managed markets at J&J, said, "The bottomline is that we believe this is the kind of program thatcompanies like Johnson & Johnson should be participating in"(Schwab, Newark Star-Ledger, 1/12). Michal Fishman, aspokesperson for Pfizer, said that company officials do "notanticipate that this will have a material impact on the company,although we are taking a hit" (Philadelphia Inquirer, 1/12).Kelly said that Together Rx Access likely would have a smalleffect on the finances of Pfizer because in the past enrollmentin similar programs "has been slow" (New York Times, 1/12). Thepharmaceutical companies plan to air ads for the program ontelevision. A spokesperson for Merck said that the company plansto announce a separate prescription drug discount card programin the next few weeks (Newark Star-Ledger, 1/12).ReactionThompson said that Together Rx Access is "a common-sense,pragmatic way to give the uninsured access to prescriptionmedicines" (Arizona Republic, 1/12). He added, "There are somecynics out there who will say that it is not enough. But it is awonderful step forward. Government alone cannot solve this verycomplex problem" (Chicago Tribune, 1/12). Whiteley called theprogram a "first-step solution as policy makers and key opinionleaders work to resolve the bigger public health issue ofAmerica's uninsured" (Lueck, Wall Street Journal, 1/12). Sheadded, "It's free to get, it's free to use and the savings arereal" (Hananel, AP/Long Island Newsday, 1/11). Bruce Roberts,CEO of the National Community Pharmacists Association, said thatthe group supports Together Rx Access, and the National HealthCouncil said members will work to promote the program. AARP, theAmerican Academy of Family Physicians and the National Alliancefor the Mentally Ill also support the program. In addition, a"wide range of groups and members of Congress from both sides ofthe aisle praised the effort," such as Sens. Edward Kennedy(D-Mass.) and Max Baucus (D-Mont.) and Rep. Steny Hoyer (D-Md.),CQ HealthBeat reports (CQ HealthBeat, 1/11). Ron Pollack,executive director of Families USA, called the program a"positive development" but added that "it underscores thecritical importance of making expanding coverage of theuninsured a top national priority" (Wall Street Journal, 1/12).He said, "I think what these drug companies are doing is verycommendable, and it will be of benefit to people who areuninsured. Of course, it's nowhere near being an adequatesubstitute for our nation making a real commitment to expandingcoverage for the 45 million who don't have coverage today"(AP/Long Island Newsday, 1/11).Effect on Rx Drug Reimportation LegislationAccording to CQ HealthBeat, Together Rx Access could "lessenpressure for legislation in Congress" to legalize thereimportation of lower-cost prescription drugs from othernations. At the new conference on Tuesday, Thompson said, "Thiscertainly supplants and possibly replaces the need forlow-income Americans to go to Canada to get their drugs."However, supporters of reimportation legislation said that theprogram does not adequately address the issue. "I complimentthem for at least recognizing that pricing is a problem butwould prefer that we have a fair price for all consumers," Sen.Byron Dorgan (D-N.D.) said. He added that he plans to introducereimportation legislation "almost immediately" after the Senatereturns from recess. A spokesperson for Rep. Gil Gutknecht(R-Minn.), who supports reimportation legislation, said thatTogether Rx Access "doesn't change the fact that rank-and-fileAmericans do not have access to affordable prescription drugs."He added, "This wouldn't impede any efforts to push importationlegislation" (CQ HealthBeat, 1/11).Broadcast CoverageSeveral broadcast programs reported on Together Rx Access:APM's "Marketplace": The segment includes comments from Pollack;Uwe Reinhardt, a professor of political economy at PrincetonUniversity; and Thompson (Palmer, "Marketplace," APM, 1/11). Thecomplete segment is available online in RealPlayer.NBC's "Nightly News": The segment includes comments fromPollack; David Stout, president of GSK; Thompson; Whiteley; andan uninsured U.S. resident (Costello, "Nightly News," NBC,1/11). The complete segment is available online in WindowsMedia


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