The average annual increase in drug cost expenditures reported in
2007 was 6.9 percent.
The range of drug cost savings was from .01 percent to 21.10 percent.
Meanwhile, the range of cost increases was .01 percent to 50 percent.
This range is broad because of the varying sizes, plan designs,
and clinical programs the survey respondents are using.
Since 2005-2006, generic dispensing rates have increased in both
the retail and mail categories (see Table 33). An increase in the
difference between first-tier and third-tier retail copayment amounts
shows a 5.0 percent increase in retail generic dispensing rates.
No increase is seen in mail-service, because not enough employers
reported sufficient data to calculate average generic dispensing
rates.
Only one employer reported experiencing a $65-or-more difference
between first- and third-tier mail copayments.
Tables 36 to 38 report the per-member-per-month (PMPM) utilization
metrics for active employees and retirees on the number of scripts,
the gross cost of scripts, and the net cost of scripts. As these
numbers are reported for the first year, they serve as baseline
data.
Eighty-eight percent of the employers who were surveyed shared data
about the type and amount of manufacturer rebate arrangements they
have negotiated. The rebate amount per retail script ranges from
$0.10 to $10.79. The rebate amount per mail script ranges from $0.50
to $45.00 (see Table 39). These numbers also are reported for the
first year, and therefore also serve as baseline data.
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