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Prescription drug spending: You don't know the half of it

Posted by Bobby Brown on December 28, 2023 - 6:58pm

There’s a long line of middlemen collecting a significant portion of what you pay for medicine. Hospitals, health insurers, pharmacy benefit managers, the government and others got nearly 50% of what was spent on brand medicines in 2020, up from 33% five years prior. Since 2015, the amount innovative biopharmaceutical companies received from the sale of brand medicines increased, on average, 4.6% annually, in line with inflation.

Nearly half of every dollar spent on medicines goes to someone who doesn't make them a long line of middlemen and others got nearly half of what we spent on brand medicines. Think you know why you're spending so much for medicine. You don't know the half of it. 

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