Pharmacoecononomics

Question 1

Pharmacoeconomics

Answer 1

Provides a framework for evaluating drug treatments in terms of comparing one treatment with another

Question 2

Pharmacoeconomic Studies

Answer 2

Designed to only look at economic impact of therapy
-Need to think of clinical impact

Components of well-designed studies

• Point of view
• Types of costs
• Direct
• Indirect
• Intangible

Question 3

Cost of Illness Analysis

Answer 3

The costs of a specific disease in a given population
Costs of resources needed to treat illness
Costs of nonmedical resources
Loss of productivity

Question 4

Cost-Minimization Analysis

Answer 4

Compares the costs of two or more treatment alternatives that are considered equal in efficacy

Compares cost of drugs within a class

• Cost of drug
• Total cost, including monitoring and administration

Question 5

Cost-Effectiveness Analysis

Answer 5

Two or more treatments/programs that are not necessarily therapeutically equivalent

Measures effectiveness in therapeutic outcomes vs dollars saved

The costs of a specific treatment or intervention are calculated and then compared with the dollar value of the benefit received

Compares and determines the greatest benefit for the dollar spent

• Cost-benefit ration
• Differences in two therapies

Question 6

Cost Utility Analysis

Answer 6

Costs of the treatment choice are in dollars and the outcomes are expressed in terms of patient preference of quality-adjusted life years
Used when quality of life is a factor

Question 7

Generic Drugs

Answer 7

Generic drugs may or may not be less expensive
Pharmacy coverage may deteremine whether a generic drug is used
-Tiered benefit
-Lower co-pay for generic drugs
Retail prescription drug programs

Question 8

Generic Substitution

Answer 8

69% of prescriptions filled with generic drugs
Prescriber influenced by
-Innovator company
-Payer
-Patient
Innovator companies support for health care

Question 9

Bioequivalence

Answer 9

The U.S. FDA regulates and sets standards for bioequivalence

FDA Orange Book: Approved drug products with therapeutic equivalence evaluations is:

• Available online
• Searched by active ingredient
• Searched by proprietary name
• Updated daily

Question 10

Pharmacoeconomics in Practice

Answer 10

Prescribing generic vs brand name drugs
Pharmacists may substitute a less expensive drug that is therapeutic equivalent
-“dispense as written”
-Patients may switch due to costs and prescription benefit
Retail drug programs
-Walmart, Target, Kroger, Sam’s Club
-$4 for a 30 day supply of common generic drugs

Question 11

Medicare Part D

Answer 11

Covers 75% of drug costs once the patient pays a deductable of $250/year
In 2018, the gap is $3750 tp $5000 and medicare enrollees get a 65% discount on costs of brand-name drugs and 56% on generic drugs
Prescriptions covered 95% after $5000/year