AARP Fights for Lower Drug Prices

Getty Images/Cultura RF

Too many in the state face hard choices caused when prescribed expensive drugs

PROVIDENCE – AARP Rhode Island, representing its 132,000 members statewide, today renewed its support for legislation intended to lower the price of prescription medications. AARP worked with bill sponsors to develop a package of eight bills that will be heard in Rhode Island Senate committee hearings this week.

In the fall of 2019, AARP Rhode Island hosted a series of well-attended public forums bringing people together to tell their stores and discuss the burden of steadily increasing prescription drug prices. AARP invited state lawmakers to attend in order to hear their constituents’ plea for bi-partisan legislative action to lower drug prices. The pandemic sidelined deliberations on drug-price legislation in 2020, but AARP vowed to return to this pressing issue in 2021.

“In Rhode Island, to cite one example, we have 82,318 residents with pre-diabetes or diabetes. Lantus, used to treat the disease, cost $2,907 a year in 2012,” said AARP Rhode Island State Director Kathleen Connell. “The price in 2017 had risen to $4,702.

“AARP has found that as many as 25% of Rhode Islanders polled in 2016 said they had stopped taking a prescribed medication because of price,” Connell added. “It is likely that further price increases compounded by the pandemic has pushed even more people into that category. No one should be forced to choose between taking their prescribed medicines or paying for housing, food and other necessities

“AARP encourages everyone to contact their representatives in both the Senate and the House and ask them to pass these bills,” Connell said. “Sad to say, but for some this is a matter of ‘your money or your life.’ It should not be that way, and time is certainly of the essence.”

Here is testimony by AARP Rhode Island State President Phil Zarlengo from March 18, 2020 followed by a summary of the 2021 AARP-backed Senate bills and what they intend to accomplish:

Good evening Chairperson Miller and Members of the Senate Committee on Health and Human Services.

My name is Phil Zarlengo and I am the Volunteer State President for AARP Rhode Island. AARP RI, representing its 132,000 members statewide, is proud to renew its support for legislation intended to lower the cost of prescription medicines. AARP worked with bill sponsors to develop a package of eight bills that are being heard this evening. My testimony this evening is in support of bills S 0499, S 0383, S 0497, S 0170, S 0494, S 0498, S 0381, and S 0496.

In the fall of 2019, AARP Rhode Island hosted a series of well-attended public forums bringing together to tell their stores and discuss the burden of steadily increasing prescription drug prices. AARP invited state lawmakers to attend in order to hear their constituents’ plea for bi-partisan legislative action to lower drug prices. The pandemic sidelined deliberations on drug-cost legislation in 2020, but AARP vowed to return to this pressing issue in 2021.

An example of rising prescription drug prices is Lantus, an insulin drug used to treat diabetes. In Rhode Island we have 82,318 residents with pre-diabetes or diabetes. In 2012, the cost of Lantus was $2,907. The price in 2017 had risen to $4,702. AARP has found that as many as 25% of Rhode Islanders polled in 2016 said they had stopped taking a prescribed medication because of cost. It is likely that further price increases compounded by the pandemic has pushed even more people into that category. No one should be forced to choose between taking their prescribed medicines or paying for housing, food and other necessities.

Here in Rhode Island, the average annual cost of brand name prescription drug treatment increased 58% between 2012 and 2017, while the annual income for Rhode Island increased only 5.6%.  Prescription drugs don’t work if patients can’t afford them.

An increasing number of Rhode Islanders are having to choose between life saving medications and other expenses like housing and nutrition. This is why the Senate needs to pass this important package of prescription drug cost legislation now. It’s time. We thank Senate President Ruggerio and all of the sponsors and co-sponsors of these bills for introducing them once again this year. We look forward to working with you all on the passage of these very important bills.

Thank you for having me this evening and on behalf of our 132,000 members in Rhode Island, thank you for introducing and hearing these life saving bills.

The bills:

• Cap on insulin co-pays: This legislation would limit the copay for prescription insulin to $50 for a 30-day supply for health plans that provide coverage for insulin. Additionally, the bill mandates that coverage for prescription insulin would not be subject to a deductible. The bill (2021-S 0170) is sponsored by Sen. Melissa A. Murray (D–Dist. 24, Woonsocket, North Smithfield).

• Cap out-of-pocket expenses: This legislation would cap out-of-pocket expenses for prescription drugs at the federal minimum dollar amount for high-deductible health plans, currently $1,400 for individual plans and $2,800 for family plans.    The bill (2021-S 0381) is sponsored by Senate Majority Leader Michael J. McCaffrey (D–Dist. 29, Warwick).

• Prohibit cost-sharing on colorectal screenings and colonoscopies: This bill will save lives by requiring health insurers cover preventive colorectal cancer screening in accordance with American Cancer Society (ACA) guidelines. This coverage must be provided without cost-sharing and includes an initial screening and follow-up colonoscopy if screening results are abnormal. The ACA recommends people at average risk of colorectal cancer start regular screening at age 45. This bill (2021-S 0383) is sponsored by Senator Goodwin (D–Dist. 1, Providence).

• Prohibit gag clauses: This bill would allow some consumers to pay less for their prescription drugs by banning gag clauses sometimes found in pharmacy contracts that prevent a pharmacist from talking to a customer about more affordable options. This bill (2021-S 0497) is sponsored by Sen. Walter S. Felag Jr. (D–Dist. 10, Warren, Bristol, Tiverton).

• Improve prescription drug transparency: This act would require pharmaceutical drug manufacturers, pharmacy benefit managers, health insurers, and hospitals to disclose certain drug pricing information. Such transparency would help payers determine whether high prescription prices are justified. This bill (2021-S 0494) is sponsored by President Ruggerio.

• Import wholesale prescription drugs from Canada: This bill would create a state-administered program to import wholesale prescription drugs from Canada, which has drug safety regulations similar to those of the United States. Such programs are allowed under federal rules, with approval from the U.S. Department of Health and Human Services. This bill (2021-S 0499) is sponsored by Sen. Louis P. DiPalma (D–Dist. 12, Middletown, Little Compton, Newport, Tiverton).

• Create a prescription drug affordability board: This legislation would create a prescription drug affordability board tasked with investigating and comprehensively evaluating drug prices for Rhode Islanders and possible ways to reduce them to make them more affordable. The bill (2021-S 0498) is sponsored by Sen. Cynthia A. Coyne (D–Dist. 32, Barrington, Bristol, East Providence).

• Limit formulary changes: This bill aims to protect consumers from unexpected changes in their health plan’s formularies (list of covered drugs). Under this legislation, formulary changes can only be made at the time of health plan renewal, if the formulary change is made uniformly across all identical or substantially identical health plans, and if written notice is provided 60 days or more before the change. The bill (2021-S 0496) is sponsored by Senator Felag.