Featured Research

from universities, journals, and other organizations

Direct-to-consumer ads associated with higher Medicaid costs

Date:
November 24, 2009
Source:
JAMA and Archives Journals
Summary:
Direct-to-consumer advertising for a commonly prescribed antiplatelet drug does not appear associated with increased use, but may be associated with increased drug costs and Medicaid pharmacy expenditures, according to a new report.

Direct-to-consumer advertising (DTCA) for a commonly prescribed antiplatelet drug does not appear associated with increased use, but may be associated with increased drug costs and Medicaid pharmacy expenditures, according to a report in the November 23 issue of Archives of Internal Medicine, one of the JAMA/Archives journals.

"The cost of drugs to public and private health insurance programs has been a long-standing source of concern among policy markers," the authors write as background information in the article. Millions of Americans are enrolled in publicly funded Medicare Part D programs. In addition, prescription drugs are cited as one of the three top reasons for Medicaid expenditure growth, and prescription drug costs have increased by an average of 15.4 percent per year between 1994 and 2004. Meanwhile, spending for DTCA has increased more than 330 percent in the last 10 years.

Michael R. Law, Ph.D., of Centre for Health Services and Policy Research, University of British Columbia, Vancouver, Canada, and colleagues studied the association between DTCA and the use and cost of clopidogrel, a commonly used and heavily marketed (as Plavix) antiplatelet agent. Researchers examined pharmacy data from 27 state Medicaid programs from 1999 to 2005. Changes in the amount of units sold, costs per unit and total pharmacy expenditures after DTCA initiation were noted.

There was no DTCA for clopidogrel from 1999 to 2000. From 2001 to 2005, U.S. spending on DTCA for clopidogrel exceeded $350 million, an average of $70 million per year.

Clopidogrel use in the 27 Medicaid programs did not change after DTCA. However, cost per unit per quarter increased by $0.40 (12 percent) after DTCA for the drug began, leading to an added $40.58 in pharmacy costs per 1,000 Medicaid enrollees per quarter. "Overall, this change resulted in an additional $207 million in total pharmacy expenditures," the authors write.

"Consequently, payers and policy makers should appropriately still be concerned about DTCA increasing total drug costs for publicly funded reimbursement programs such as Medicaid and Medicare. Future longitudinal studies should examine other drugs and settings because many other countries are currently considering whether to permit DTCA," the authors conclude.


Story Source:

The above story is based on materials provided by JAMA and Archives Journals. Note: Materials may be edited for content and length.


Journal Reference:

  1. Michael R. Law; Stephen B. Soumerai; Alyce S. Adams; Sumit R. Majumdar. Costs and Consequences of Direct-to-Consumer Advertising for Clopidogrel in Medicaid. Arch Intern Med, 2009; 169 (21): 1969-1974

Cite This Page:

JAMA and Archives Journals. "Direct-to-consumer ads associated with higher Medicaid costs." ScienceDaily. ScienceDaily, 24 November 2009. <www.sciencedaily.com/releases/2009/11/091123171245.htm>.
JAMA and Archives Journals. (2009, November 24). Direct-to-consumer ads associated with higher Medicaid costs. ScienceDaily. Retrieved April 20, 2014 from www.sciencedaily.com/releases/2009/11/091123171245.htm
JAMA and Archives Journals. "Direct-to-consumer ads associated with higher Medicaid costs." ScienceDaily. www.sciencedaily.com/releases/2009/11/091123171245.htm (accessed April 20, 2014).

Share This



More Health & Medicine News

Sunday, April 20, 2014

Featured Research

from universities, journals, and other organizations


Featured Videos

from AP, Reuters, AFP, and other news services

Nine-Month-Old Baby Can't Open His Mouth

Nine-Month-Old Baby Can't Open His Mouth

Newsy (Apr. 19, 2014) Nine-month-old Wyatt Scott was born with a rare disorder called congenital trismus, which prevents him from opening his mouth. Video provided by Newsy
Powered by NewsLook.com
'Holy Grail' Of Weight Loss? New Find Could Be It

'Holy Grail' Of Weight Loss? New Find Could Be It

Newsy (Apr. 18, 2014) In a potential breakthrough for future obesity treatments, scientists have used MRI scans to pinpoint brown fat in a living adult for the first time. Video provided by Newsy
Powered by NewsLook.com
Little Progress Made In Fighting Food Poisoning, CDC Says

Little Progress Made In Fighting Food Poisoning, CDC Says

Newsy (Apr. 18, 2014) A new report shows rates of two foodborne infections increased in the U.S. in recent years, while salmonella actually dropped 9 percent. Video provided by Newsy
Powered by NewsLook.com
Scientists Create Stem Cells From Adult Skin Cells

Scientists Create Stem Cells From Adult Skin Cells

Newsy (Apr. 17, 2014) The breakthrough could mean a cure for some serious diseases and even the possibility of human cloning, but it's all still a way off. Video provided by Newsy
Powered by NewsLook.com

Search ScienceDaily

Number of stories in archives: 140,361

Find with keyword(s):
Enter a keyword or phrase to search ScienceDaily for related topics and research stories.

Save/Print:
Share:

Breaking News:
from the past week

In Other News

... from NewsDaily.com

Science News

Health News

Environment News

Technology News



Save/Print:
Share:

Free Subscriptions


Get the latest science news with ScienceDaily's free email newsletters, updated daily and weekly. Or view hourly updated newsfeeds in your RSS reader:

Get Social & Mobile


Keep up to date with the latest news from ScienceDaily via social networks and mobile apps:

Have Feedback?


Tell us what you think of ScienceDaily -- we welcome both positive and negative comments. Have any problems using the site? Questions?
Mobile: iPhone Android Web
Follow: Facebook Twitter Google+
Subscribe: RSS Feeds Email Newsletters
Latest Headlines Health & Medicine Mind & Brain Space & Time Matter & Energy Computers & Math Plants & Animals Earth & Climate Fossils & Ruins