Various private insurance companies that manage Medicaid want state legislators to give them more freedom to choose their own preferred drug lists, according to The Texas Tribune.
Here are five highlights:
1. Payers claim health plans could save the state nearly $100 million annually if they had more freedom to choose the drugs they deemed most appropriate for Medicaid patients. With the freedom, payers would likely prescribe generic drugs over more costly alternatives.
2. The Texas Association of Health plans commissioned a study, which found Texas pays more than the national average cost per prescription, yet the state prescribes name-brand drugs at a higher rate than all but five states.
3. All plans in the state Medicaid program are required to use a uniform preferred list featuring medicine a state board recommends.
4. The Menges Group, a health policy consulting firm, conducted a study which found 77 percent of all Texas Medicaid prescriptions were for generic-brand drugs, slightly below the national average of 81 percent.
5. The Texas Association of Health Plans said giving managed care organizations the freedom to choose preferred drug lists would yield more cost savings for the state.
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