Report: Calif., Other States Overpay for Medicaid Drugs
In 2009, California's Medicaid program, Medi-Cal, spent $102 million more on popular brand-name medications than it would have ifÂ beneficiaries opted for lower-cost, generic drugs, according to a study by the American Enterprise Institute. Nationwide, state Medicaid programs incurred at least $329 million in unnecessary spending on drugs, according to the report. The study's author recommends changes to encourage or mandate the use of generic medications before the federal health reform law expands Medicaid rolls.
- "Medicaid Skips Generic Drugs, Overspends by Millions" (Commins, HealthLeaders Media, 3/29).