'Generics First' Program Helps To Lower Prescription Costs; Merck-Medco and Medical Mutual Partner on Generic Sampling and Education Program.

Pharmaceutical and Healthcare Reporters

CLEVELAND--(BW HealthWire)--March 29, 2001

A program designed to help lower out-of-pocket prescription costs for consumers, without sacrificing quality of care, is being introduced in Ohio.

Merck-Medco, one of the nation's leading providers of prescription drug care and Medical Mutual, Ohio's oldest and largest health insurance company are teaming up to promote the use of generic prescription drugs by offering physicians throughout Ohio a unique sampling and education program.

The Generics First(SM) program will provide physicians with additional tools and information to help patients gain first-hand experience with generic medications. Generic medicines have the same active ingredients as brand-name medicines, but cost on average 35 percent to 65 percent less.

"We believe it is our responsibility to provide health plan sponsors with innovative programs that can reduce the rising costs of and improve access to high-quality pharmaceutical care," said Dick Clark, president of Merck-Medco. "With the availability of important new generic medicines over the next few years, we now have a unique opportunity to substantially reduce the cost of care, while maintaining the highest quality."

How the Program Works

Initially, the Generics First program will target four of the largest therapeutic areas - antihypertensives, anti-infectives, gastrointestinal and non-steroidal anti-inflammatory drugs (NSAIDS).

In the first year, Merck-Medco will target 7,700 physicians nationwide. In Ohio, approximately 1,025 will take part in the Generics First program either through one-on-one visits with Merck-Medco pharmacists (420 physicians) or through the direct mail program (605 physicians). During the monthly one-on-one visits, pharmacists will be providing physicians in Cleveland, Columbus and Dayton with the latest information on the status of brand-name medicines and the availability of the new generic medicines. In addition, for the first time ever, physicians will have access to free samples of commonly prescribed generic medications through a simple, free mail-order system operated by a third party fulfillment house. Ohio-based physicians who are part of the Generics First direct mail program will receive educational material and information on how to access, for the first time ever, generic drug samples from their manufacturers.

"With Generics First, physicians will have samples of generic drugs to give to their patients rather than samples of more expensive, brand-name drugs," said Tim Colligan, Medical Mutual's director of Pharmaceutical Care Management. "This will not only put more money in the pockets of our members, but will also help Medical Mutual better manage the rising cost of prescription drugs."

"Physicians play a vital role in helping to keep the cost of drugs affordable for their patients," said Glen Stettin, M.D., vice president, Clinical Affairs, Merck-Medco. "By providing physicians with access to samples, Generics First allows people to experience first-hand that generic medications have the same therapeutic benefits at a significant savings."

In fact, the U.S. Food and Drug Administration (FDA) requires generic drugs to contain the same active ingredients at the same strength and dosage form as their brand-name equivalents. In addition, generic manufacturers must comply with the same rigid federal standards for quality and purity as brand-name manufacturers.

Generics First builds on the success of Merck-Medco's 1999 campaign with the National Consumers League to heighten consumer acceptance of generics. A study, which was completed as part of that effort, showed that 90 percent of patients would take a generic alternative if recommended by a physician, and yet less than 50 percent of the 1,000 patients surveyed said their doctors had spoken to them about generics.

Generic drugs, which are available for about half of all prescribed medications and are expected to increase over the next several years, save consumers money through lower out-of-pocket costs or co-payments and are more economical for plan sponsors.

Founded in 1934, Medical Mutual is the oldest and largest health insurance company based in Ohio. The company serves 2.6 million customers through its high-quality, affordable group and individual health insurance plans, traditional indemnity coverage and third-party administrative services to self-insured group customers. Medical Mutual's SuperMed Plus plan was the first preferred provider organization in the nation to be accredited by the National Committee for Quality Assurance. Based in Cleveland, Medical Mutual also has offices in Columbus, Cincinnati, Toledo, Akron, Dayton and Youngstown.

Merck-Medco is the leading provider of comprehensive, quality, affordable prescription drug care in the United States. An independently managed subsidiary of Merck & Co., Inc., Merck-Medco serves the needs of more than 65 million, or nearly one-in-four Americans. Merck-Medco manages some 370 million prescriptions per year for its clients through its 12 mail service pharmacies and retail pharmacy networks. Merck-Medco's clients include major corporations, Blue Cross-Blue Shield groups, insurance carriers, health maintenance organizations, government health plans and unions. More information on Merck-Medco is available at www.merckmedco.com.