NEWSROOM

October 14, 2005

PCMA: Extending Prescription-Drug Patents Raises Serious Health Care Cost & Quality Questions

PCMA Supports Bioterrorism Preparedness,
Opposes Drug Patent Extensions

(Washington, DC)—As policymakers continue to work on proposed legislation aimed at developing countermeasures to bioterrorism, the Pharmaceutical Care Management Association (PCMA) today raised a number of unanswered questions about possible brand-name drug patent extensions, their impact on prescription drug costs throughout the entire health care system, and whether they even advance the goals of effective bioterrorism preparedness. PCMA is the national association representing America’s pharmacy benefit managers (PBMs), which administer prescription drug plans for 200 million Americans.

“PCMA believes that a strong national defense policy should include efforts to develop effective countermeasures to combat bioterrorism,” said PCMA President Mark Merritt. “Regrettably, some of the drug patent extension proposals being discussed raise serious concerns about the overall cost impact and whether they would even advance the goals of bioterrorism preparedness. At a time when private and public purchasers are looking to expand access to clinically proven, cost-effective drugs, brand-name drug patent extensions take us in exactly the wrong direction.”

While strongly supportive of efforts to develop effective bioterrorism countermeasures, PCMA believes that some of the proposals under consideration in Congress raise serious cost and quality concerns. Among the unanswered questions about proposals extending brand-name drug patents and whether they advance the goal of bioterrorism preparedness:

�¼ How much would drug patent extensions increase prescription drug costs for working families and seniors? How much would drug patent extensions increase prescription drug costs and/or benefit costs for private health-care purchasers, including unions, small businesses, and large employers?

�¼ How much would consumers see their health benefits eroded or eliminated because of the costs associated with drug patent extensions? What effect would this proposal have on health care quality as patients might find themselves unable to afford or without coverage for needed medicines?

�¼ How much would drug patent extensions increase costs and part D premiums in the new Medicare prescription drug benefit?

�¼ How would drug patent extensions advance the goals of bioterrorism preparedness, including issues related to guaranteed purchasing, distribution, and minimizing product liability?

PCMA is participating in the Coalition for a Competitive Pharmaceutical Market (CCPM). The Coalition, comprised of employers, health insurers, generic manufacturers, PBMs, and retail pharmacy, sent a letter today to members of the Senate Health, Education, Labor, and Pensions (HELP) Committee outlining its concerns with drug-patent extensions. In addition, the Coalition is running a print advertising campaign inside the Beltway.

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CCPM Letter to Sen. Richard Burr

CCPM Print Ad

Contact Information:
Phil Blando
202-207-3614