The Heller School for Social Policy and Management, Brandeis University

National Program on Women & Aging
 
 
 
Women & Aging Letter Excerpt
Summer 2002
Volume 6  Number 2
Drug Discount Cards:  An Overview

..... just as the summer of 2002 was ending, the Senate voted down legislation that would have provided comprehensive Medicare prescription drug coverage, particularly for low-income elders; it does not look as if a compromise can be reached on Capitol Hill before the November elections.

Public and private sector alternatives have been developed to fill the gap on prescription drug coverage for seniors. One such option is the prescription drug discount card.   As the number of drug discount card programs increases, the average consumer might feel confused and overwhelmed as to which of the many options might be the best. It is difficult to evaluate plans because of the lack of comparable information regarding pricing and discounting methods. 

This issue of the Women and Aging Letter provides an overview of program characteristics, and a few examples to assist consumers in assessing their options. 
 

Below is an excerpt from this issue of the newsletter.  Also included in the issue:

What are Prescription Drug Cards?
Who Provides Drug Discount Card Programs?
Comparison of Several Drug Card Programs
 
 
What are the Characteristics of Drug Discount Card Programs?
 
Drug discount card programs vary dramatically in terms of enrollment fees, program features and extent of drug price discounts. However, in general, most of the prescription discount card programs share the following characteristics:
  • Most programs are relatively new to the market.
  • Eligibility is open to everyone, regardless of age and income. A few programs, particularly state ones, target only people over 65 years of age.
  • Most charge an annual fee, which ranges from $15 to $125 per year.
  • Programs offer discounts at participating program pharmacies.
  • Many have mail-order pharmacy service, which usually offers better discounts on selected drugs.
  • Many programs maintain formularies (preferred medication lists), with deeper discounts on drugs included on the list.
  • All programs provide some degree of quality assurance and patient safety actions.
Despite these similarities, there are many differences between programs that might affect the discount card’s ability to cover steep out-of-pocket drug expenses. A card with a fee that covers the entire household might be a better option if a number of individuals in the household will benefit from the discounts. The program you choose today as the one most favorable for you might change if the drugs you use change, or if the price or discount for a given medication changes. Though it is hard to determine the best option, keep in mind the following questions as you evaluate discount card plans:
  • How many medications do you need? 
  • What are the types of medications you need (generic or brand name)?
  • For how long do you need to take the medications? 
  • How convenient and accessible is the participating pharmacy?
  • Does the program provide mail-order services?
  • Does the program have professional pharmacist counseling available?
Other Online Resources

Other available online resources that might be useful in helping you understand and choose the best drug discount card are:

Medicare Drug Assistance Programs:  Provides general information on public and private programs that offer discounted or free medication by state, as well as Medicare health plans that include prescription coverage. 

Volunteers in Health Care:  Provides a list of prescription drug state programs, and other discount plans. 

National Conference of State Legislatures:  Provides information about recent states legislative activity, including prescription drug coverage. It features an online report, “State Pharmaceutical Assistance Programs”, on all current state drug subsidies and discount programs. 

Pharmaceutical Research and Manufacturers of America:  Provides a directory of prescription drug discount cards sponsored by pharmaceutical companies. 
 
 

This is an excerpt only

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