GDs save 6 Billion Dollars of US Govt

US government is thankful to the generic drugs (GDs) manufacturers as they have allowed US government to save 6 billion dollars. Yes, generic drugs are favorite choice of the customers and have allowed the US government to save the money that they use to invest in the pharmaceutical sectors for the quality and maintaining the price of branded drugs low. Generic drugs were previously only saving the money of customers but now it is saving the money even of the government. The investments of US government in the pharmaceutical government are reduced considerably in last 2 years. Government is finding it easy to invest in the generic drugs rather than the branded drugs.

Generic drugs are identical or bioequivalent to the brand name counterpart with respect pharmacokinetic and pharmacodynamic properties, Insurers prefer the generic drugs because of the low cost at which they are available. Health insurers are also forcing the doctors to prescribe the generic drugs. Generic drugs save an amazing two-thirds off the cost of a typical branded prescription, or about $700 million a year. Insurance companies said that they are following legitimate medical protocol which explains that the step therapy procedure should be followed by the doctor. Step therapy is a procedure in which doctors should first prescribe the generic drugs and if these drugs fail to produce the required effect then they should prescribe the more expensive brand-name drugs. Thus, the increase in sales of generic drugs observed.

Generic drugs have become the choice of doctor’s as well because the 30% rise was observed in the prescription of the generic drugs, whereas the 12% decrease was observed in the prescription of the branded drugs in the last year. The US government has to make more investments in the branded drugs, thus this year the investments in branded drugs was saved as there was less demand for the branded drugs. Insurers are paying doctor the extra incentives if they are prescribing the generic drugs. Doctors and physicians are continuously hammered by the insurers by sending the mails and faxes that don’t waste your patient’s money by prescribing brand-name drugs. Thus, the rise is observed in the sales of generic drugs and government is able to save the money.

Online pharmaceutical distributors proved to be the best solution for the customers. Online pharmaceutical distributors not only supplied the best quality generic drugs but also maintain the privacy of the customer. Customers were also really happy with the fact that they even don’t have to produce the doctor’s prescription to buy these generic drugs. Food and Drug Administration in United States has declared that generic drugs are safe to consume and doesn’t have any harmful effects on the human body. Thus, after the approval generic drugs received the more preference of the customers and the sale of generic drugs increased. Online sale of generic drug saved the economy of the generic drug manufacturing companies considerably. Profits increased in a large amount. Thus the US government also became more interested in the investment in the generic drugs rather than the branded drugs.

A major reason for the savings has been the customer’s use of generic drugs, which account for 64% of all prescriptions written under the benefit compared with 61% in the private health insurance market. In addition, with around 32 million enrollees the program has about 2 million fewer than originally envisaged, and enrollees have also reduced their costs to avoid the “doughnut hole.” Generic drugs are making government to invest less in the drug market by cutting the need of clinical trials and research required for the branded drugs.

Medicare can save even more in years to come, if more consumers use cost-saving mail-service pharmacies, physicians utilize e-prescribing technology and Congress passes legislation enabling the Food and Drug Administration (FDA) to approve generic versions of biotechnology drugs, according to the Pharmaceutical Care Management Association (PCMA), which represents pharmacy benefit managers (PBMs). Thus, due to the more approvals of the generic drugs the US government will be able to save the more money.