Generics use in USA's Part D versus commerical market reviewed

In the USA, a key benchmark of plan performance - the use of generic medications - is higher in Medicare Part D than in the rest of the marketplace, according to a new report from IMS Health, a global pharmaceutical and health care consulting firm. Part D plans have also helped previously uninsured seniors to reduce their out-of-pocket costs 60% per prescription according to IMS, said the Pharmaceutical Care Management Association.

The new IMS report-Medicare Part D: The First Year -examines the impact of Part D on medicines use among seniors. Specifically, IMS finds:

- generic drugs comprise 58% of prescriptions in Part D, compared to 57% of all retail scripts; - in Part D, patient compliance with therapies for chronic conditions increased in four out of five therapeutic categories; - previously-uninsured seniors in Part D increased their use of all medications - including both generic drugs and branded products - 26% while their out-of-pocket costs per prescription decreased 60%; - seniors switching from third-party coverage to Part D increased their prescription use 10%, while their out-of-pocket drug costs decreased 17%; and - only 6% of enrollees entered the so-called "donut" hole, the gap in reimbursement coverage for drug spending between $2,400 and $5,451.25 in 2007, and a sizable portion of those enrollees did so in the final days of the year.