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The Flawed Third-Party Payer System Drives the Drug Affordability Problem – Pacific Research Institute

The Flawed Third-Party Payer System Drives the Drug Affordability Problem

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  • The problem of drug affordability is caused by the perverse incentives created by the third-party payer system that have
    disempowered patients in favor of insurers and other supply-chain intermediaries.
  • The insurance flaws have created pricing systems that inequitably transfer a disproportionate share of drug costs on to patients. This arrangement inappropriately imposes a drug affordability problem on patients who require expensive medicines.
  • The insurance flaws also incent benefit design policies that create additional affordability burdens and unnecessarily increase overall system costs.

Nothing contained in this blog is to be construed as necessarily reflecting the views of the Pacific Research Institute or as an attempt to thwart or aid the passage of any legislation.

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