Dramatic cost discrepancies revealed in AG's
investigation of drug prices statewide
May 17,
2007--LANSING -
An investigation of prescription drug prices
by Attorney General Mike Cox revealed
staggering cost differences between
identical prescription drugs across the
State, including price differences of more
than $100 within a community for the same
dosage of the same drug.
During the
week of May 7-11, 2007, Attorney General
investigators surveyed 200 pharmacies in 10
different communities across the State.
Cox's team investigated the prices of 11
commonly prescribed drugs that do not appear
on the Department of Community Health's (DCH)
drug-price website, which only provides
pricing information for 30 drugs.
The
communities surveyed included Detroit,
Marquette/UP, Flint area; Saginaw/Bay City
area; Troy; Kalamazoo area; Lansing area;
Grand Rapids; Warren; and the Traverse City
area.
"It's a tragedy that Michigan does not have
a broad-based, user-friendly, interactive
drug-cost website. The people of Michigan
are the ones who are, quite literally,
paying the price," said Cox.
"The results
of our investigation are staggering. A
senior in Detroit could pay as much as
$102.00 more for the identical prescription
drugs only a matter of miles apart; a
consumer in Traverse City could pay as much
as $128.00 more for identical drugs; and a
consumer in Lansing could pay as much as
$98.99 more for identical drugs in Lansing.
"The drugs we surveyed are all commonly
prescribed drugs, none of which are listed
on the DCH website. In fact, the DCH
website has no drugs listed to treat a
number of diseases that commonly afflict
seniors, such as diabetes, osteoporosis,
cancer, or Alzheimer's. An expanded 150
drug website is long overdue."
The drug survey investigation follows a
previous round of surveys conducted during
January, February, and May of last year.
Both in Lansing and across the State of
Michigan, prices for the 11 surveyed drugs
varied greatly. For example:
·
Lansing: Ambien cost $188.99, 11 miles away
the same drug cost only $90.00, a difference
of $98.99.
·
Detroit: Ambien cost $178.00, less than 5
miles away the same drug cost $80.00, a
difference of $98.00.
·
Statewide: Avandia cost $300.00, the same
drug could be found as low as $171.20, a
difference of $128.00.
"Other states, such as Minnesota, New York,
and New Jersey, list 150 or more drugs on
their drug-pricing websites. That added
information gives their consumers the
ability to save money on a wide variety of
prescriptions - not just 30," said Cox.
"The DCH drug pricing website needs to
increase the number of drugs listed from 30
to 150 so that Michigan consumers can spend
their healthcare dollars more effectively.
"And other states do a much better job of
marketing their websites. Florida's site
saw more than 220,000 visitors its first
year. New York State's website attracted
half-a-million hits its very first day, and
averages almost 200,000 visitors a month.
"More than 1.1 million Michigan citizens are
uninsured. This information can help
seniors, the uninsured, the underinsured,
and consumers save money immediately.
According to states that have broad-based
drug-cost websites, consumers saved an
average of $17.36 per prescription. For the
average senior with four prescriptions,
that's a yearly savings of more than
$833.00."
"I call on the department to help seniors
and consumers by expanding the drug
website," Cox concluded.
