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Fall 2006

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| RX DRUG COSTS—Maryland PIRG policy advocate Johanna Neumann informs reporters about the high prices uninsured Marylanders pay for prescription drugs. In Baltimore, uninsured consumers pay 62 percent more than the federal government for the same medications. |
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Access to quality, affordable health
care is a major concern for Americans
across the country. For the
growing number of uninsured and
underinsured, prescription drug
prices can cause fi nancial hardship
and force people to choose between
necessary medicines and essential
expenses like food and rent.
Maryland PIRG works to bring
down the price of prescription
drugs by advocating for bulk purchasing
pools and the availabilty
of generic drugs. At the same time,
we strive to hold drug companies
accountable to their customers by
making sure that medicines are safe
and companies are truthful in their
marketing.
Recently, research undertaken by
Maryland PIRG and the state PIRGs
shows that drug affordability and
safety have a long way to go.
Higher Costs For Uninsured
In July, Maryland PIRG released a
report that revealed that uninsured
consumers in Baltimore pay 62 percent
more for prescription drugs
than the federal government.
The federal government uses its
buying power to negotiate lower
prices for employees and retirees.
Maryland PIRG supports legislation
to establish state-level buying
pools that include uninsured
Marylanders.
“With no one to negotiate lower
prices on their behalf, uninsured
consumers often face sticker shock
when trying to afford medically
necessary prescriptions,” said Johanna
Neumann, policy advocate
for Maryland PIRG. “State level
buying pools will level the playing
field for the uninsured.”
Although the General Assembly
extended Medicaid buying pool
benefi ts to low-income uninsured
Marylanders in 2005, the Bush
administration failed to sign the
necessary waiver for the law to go
into effect.
Medicine Or Snake Oil?
False and misleading prescription
drug advertising is common and
dangerous. A state PIRG report
reviewed enforcement letters that
the Food and Drug Administration
(FDA) sent to drug marketers
between 2001 and 2005.
Researchers learned that drug
makers often communicate false
and misleading messages through
conventional advertising, sales representatives,
and doctors speaking
on behalf of drug marketers, and
through clinical trial suppression,
manipulation and misrepresentation.
“Powerful prescription drugs can
improve or save lives, but if they’re
marketed to the wrong people,
they can cripple or even kill,” said
state PIRGs Consumer Advocate
Abigail Caplovitz.
The FDA letters did not address
anywhere near the full universe
of prescription drug marketing.
The FDA routinely reviews only “classic” advertising and does
not comprehensively monitor the
sometimes more infl uential advertising
that targets doctors directly.
Moreover, the FDA’s review of
classic advertising is not complete;
not all ads are submitted to review,
and of those that are, the FDA
only reviews some.
To address scientific misconduct
in clinical trials, states should
establish a comprehensive, searchable
database of clinical trials, and
citizens should be allowed to sue
for injunctive relief to stop false advertising
and force manufacturers
to conduct corrective advertising.
Maryland PIRG and our allies will
continue to work at the state and
federal levels to ensure safe and
affordable quality health care. |