News Headlines Article

Medicaid Skips Generic Drugs, Overspends by Millions
Health Leaders Media

State Medicaid programs spent at least $329 million more in 2009 on 20 popular brand-name drugs than they would have if they’d used lower-cost generic equivalents, according to a study from the American Enterprise Institute.

The study – Overspending on Multi-source Drugs in Medicaid — also projects that as much as $433 million in potential Medicaid savings could be lost in the two years when 10 “blockbuster brand drugs” lose their patent protections, unless states and the federal government press for the use of generic equivalents.