WIDER COPAY DIFFERENTIALS PROMOTE GENERIC DISPENSING

A new study by researchers at Express Scripts has confirmeda connection between the copay differentials forbrand and generic drugs set by drug plans and the willingnessof patients to use lower-cost generic medicines. According tothe study, plans with a generic versus brand copayment differentialof $21 or more used generic drugs at a rate 5.2%higher than those with a differential of $5 or less.

?The findings in this study show that getting plan designright pays off, given that a 1% increase in generic use resultsin an estimated 1.6% decrease in total drug-plan costs,? aspokesman for the researchers said. The study, published inthe June 2007 issue of the American Journal of Managed Care,also found that plans with $16 to $20 differentials used genericdrugs at rates that were 2.9% higher than those with thelowest differential between generic and brand copayments.