5 Drug Spending Trends to Watch

APRIL 26, 2016
Allison Gilchrist, Associate Editor
2. Blockbuster drugs losing patent protection may shift market dynamics.
Nearly 9 of every 10 prescriptions filled is for a generic medication, and several highly-prescribed blockbuster drugs are slated to lose patent protection in 2016—including Benicar (olmesartan medoxomil), Intuniv (guanfacine hydrochloride extended-release tablets), and top-prescribed Crestor (rosuvastatin).

How generic versions of these blockbusters will be priced still remains to be seen, but the average price of a generic can be as much as 80% to 85% lower than its patented brand-name counterpart.
“The impact of patent expiries, while higher in absolute dollars in the next 5 years, will be lower in percentage contribution than the past five years,” according to the IMS Health report.
Discussions about generic drug pricing will likely become increasingly heated as the federal inquiry into the subject continues.