Canada: Universal Drug Plan May Save $10B

OTTAWA, Sept. 14 (UPI) — A patchwork of private and public prescription plans in Canada is costly but researchers say a universal prescription drug plan would save $10 billion a year.

The report by the Canadian Center for Policy Alternatives says the existing patchwork of private and public plans in Canada is inequitable, inefficient and costly.

“Canada’s pharmaceutical policies are a total failure,” study author Marc-Andre Gagnon told the Canadian Broadcasting Corp.

The report says Canada’s costs for prescription drugs are higher than those of the United States, Switzerland and Germany because drug prices are inflated so as to attract pharmaceutical investment.

Gagnon says Canadians receive different coverage depending on what plan they’re in and where they live, and administrative costs from hundreds of different private, public and company plans increase the costs as well.

A universal prescription plan would lead to savings of nearly $3 billion a year but the savings jump to more than $10 billion a year if Canada were to cut pharmaceutical industry privileges, Gagnon says.

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Categorized | Other, Policies & Solutions
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