Government

Discount Rx program finally launched in Maine

Physicians say more of their patients will be able to afford the drugs they need.

By Tanya Albert amednews correspondent — Posted Feb. 9, 2004

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After two years of court challenges, Maine implemented a plan in January to lower the cost of prescription drugs for many residents.

The state sent Maine Rx Plus cards to about 73,000 people who were part of the state's now-defunct Healthy Maine program, which the federal government stopped in December 2002 because of concerns that it conflicted with federal Medicaid law. The program was open to residents with incomes up to 300% of poverty level.

The new Rx cards entitle residents to a 10% to 25% discount off brand-name drugs and a 60% discount on a range of generic drugs.

The program also will offer discount cards to state residents who make up to 350% of the poverty level, which is more than the minimum required for other state prescription drug aid but often not enough to afford health insurance that covers drugs.

To qualify, individuals who do not have prescription coverage must make $31,440 or less annually, a couple must make $42,420 or less, and a family of four must make $64,400 or less.

Physicians say the program will help patients get the drugs they need. The state estimates that 275,000 residents are eligible for the cards.

"Doctors are as frustrated as patients because they know they are writing prescriptions for patients that will never be picked up," said Maine Medical Assn. Executive Vice President Gordon Smith.

Maine originally adopted a program in 2000 that would have required pharmaceutical companies to offer discounts for residents who do not qualify for Medicaid. The federal government stepped in and stopped the program, and the pharmaceutical industry sued the state.

The U.S. Supreme Court last year ruled that Maine could continue its effort. The program that the state launched in January is a revised version of the old one.

The state is relying on discounts from pharmacies, and it also will use its buying power to negotiate rebates and more savings later in the year, said Maine Gov. John E. Baldacci.

"We have reconfigured the program to meet federal concerns, to integrate it with Drugs for the Elderly and to make it ready to coordinate with the new Medicare drug benefit when that program starts," he said. "Our efforts to bring affordable drugs to our citizens will not cease."

Maine Rx Plus is the first of its kind in the country.

"Until the federal government allows the bulk reimportation of prescription drugs, Maine's Rx Plus model is by geography and price the nearest thing to Canada," said state Rep. David Lemoine.

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