Why Are Prescription Generic Drug Prices Rising? Lack Of Competition And Questionable Business Practices To Blame
If you're on a long-term maintenance prescription medication, chances are you've been directed to a generic form to help bring down your costs. But what happens when the prices of those generics start to rise?
Officials are questioning the rising cost of prescription generic drugs over the last few years. In some cases, the patient-cost of these drugs have gone up 1000% percent or more - and now lawmakers want answers.
Late last week, the lawmakers sent letters to 14 drug makers that make or distribute the 10 generic drugs, requesting explanations for price increases. They may hold hearings depending on the response. Some manufacturers have already promised cooperation.
The causes of these steep price increases are due in part to a lack of competition. As drug manufacturers leave the marketplace, they create less supply for the demand - helping to drive up costs. At the same time, some manufacturers have been accused of profit-taking at the expense of customers.
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Have you noticed a rise in the cost of a generic prescription medication you're taking?