PharmacoEconomics & Outcomes News 633 - 23 Jul 2011 Use of generic drugs improves cost effectiveness The use of generic drugs rather than branded products dramatically improves the cost effectiveness of treatments used to prevent cardiovascular disease, say researchers from Harvard University, Brigham and Women′s Hospital and CVS Caremark. The researchers set out to re-assess data from a 2008 study that had determined the cost effectiveness of various branded named drugs for preventing cardiovascular disease in the US. This previous study found that, although effective, "most preventative activities are expensive when considering direct medical costs". In the present study, the researchers showed that using generic drugs at current prices, in place of the original brand name drugs, markedly reduced costs. For example, use of a generic drug to attain the American Diabetes Association target for glucose control cost $US1022 per QALY gained compared with a value of $48 759 per QALY gained in the 2008 study. Similarly, generic treatment to lower BP in non-diabetic patients was estimated to cost $7753 per QALY – down from $52 983 per QALY in the 2008 estimate. "As the nation struggles to find strategies to improve population health without adding to the unsustainably high cost of care, policy makers should focus on ensuring that patients have access to essential generic medications", say the researchers. Shrank WH, et al. The Use Of Generic Drugs In Prevention Of Chronic Disease Is Far More Cost-Effective Than Thought, And May Save Money. Health Affairs 30: 1351-1357, Jul 2011. Available from: URL: http:// 803057300 dx.doi.org/10.1377/hlthaff.2010.0431

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PharmacoEconomics & Outcomes News 23 Jul 2011 No. 633

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