Costs of pharmacy drugs

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In the news recently you may have noticed that the cost of some medications have been the headline.

Additionally even on Facebook there have been many discussion about the cost of medications.

There may be a reason why these costs keep going up and up and up…

Its not what you think..

The problem is that we have serious issues in this nation and politics seems to have invaded every single aspect of our society.

Including health care.  source.

Rising health care expenditures within the United States has been a major focus of policy makers, business owners, and individuals for years.

According to the Centers for Disease Control and Prevention (CDC), the per capita national health expenditures in 2015 US dollars was $9,990, total national health expenditures were $3.2 trillion, and the percent of Gross Domestic Product (GDP) was 17.8% 1 Furthermore, prescription drug treatment accounted for 10% of the overall costs associated with national health expenditures in the US (2015 US $).1

A 2013 report by Moses III et al, identified the top 4 drivers of health care costs in the US since 2000 as: 1) administrative costs (5.6% per year); 2) price of health care services (4.2% per year); 3) price of drugs and medical devices (4% per year), and 4) price of professional services (3.6% per year)2 Interestingly, this report did not find demand for health care services or aging of the population to significantly contribute to this increase in health care costs. Thus, the price of health care itself seems to be driving the increase in costs. 2

To address these increases in costs related to prescription drugs, private employer groups, individual States, and the federal government, have utilized the services of pharmacy benefit managers (PBMs). Historically, PBMs were “middlemen” entities designed to process prescription medication claims (for a small fee per claim) for insurance companies and plan sponsors (ex. private employers). 3

Today, PBMs have leveraged their position as the “middlemen” and now impact almost every aspect of the prescription drug marketplace.3 For example, the top 3 PBMs within the country manage the drug benefits for approximately 95% of the US population or 253 million American lives.4 Beyond their traditional claims processing, PBMs are now involved in drug utilization review, drug plan formulary development, determining which pharmacies are included in the prescription drug plan’s network, deciding how much network pharmacies will be reimbursed for their services, and operating mail order and specialty pharmacies themselves.4

You can read the entire article here.

What I find of particular interest is the dishonest manner of these systems where someone is basically operating in the middle of the patient, doctor, pharmacy, drug manufacturer, the insurance companies that are paid to provide drug coverage and on and on it goes.   You see the problem here?  The average patient pays between 500.00 to 1800.00 for health insurance each month…  The government pays money out as well. . .    So, what is the name of all that is good are we allowing dishonest bureaucratic Gestapo Mafia, types to influence and peddle special interest ideas and politics into what is essentially the money of Americans all over this nation?

What is that all about…

Seriously because I want to know…

How is it possible that we have what amounts to a protection racket, extortion and more morally reprehensible behavior going on every day and the media are talking about everything else but what they should be talking about.