Generics now 63% of USA's MPD market

A study that looks at key statistical outcomes of the USA's Medicare Part D (MPD) prescription drug program has found an increase in the uptake of generic drugs. After conducting a comprehensive comparative analysis of 2007 MPD prescription drug claims to commercial plan claims, Wolters Kluwer Health compiled a whitepaper with some compelling statistical revelations about the program's impact on both patients and pharmaceutical companies. Overall, it bears clear evidence of a growing affinity for generics and a continual slide away from brands. The publicly accessible whitepaper is posted on the company's web site at www.wkhealth.com.

The study's aim was to measure how much impact the MPD coverage gap had on treatment decisions. In the end, it found that once a patient enters the coverage gap - and has to pay all out-of-pocket expenses for a prescription - there emerges a profound preference for generics over brands. For example, prior to January 2006 when the MPD program commenced, the generic-to-brand ratio was even with 50% of MPD patients using generics and 50% using brands. By the end of 2006, within the MPD population, that split increased to 56% for generics versus 43% for brands. However, by 2007, that trend became even more pronounced, with 63% of all MPD prescriptions going to generics vs 37% for brands - a split of more than 26 percentage points.

Using a statistical sampling of the "standard eligible" patient segment, the study suggests several outcomes that may not have been commonly anticipated. Highlights for 2007 include: