While Texas lawmakers are studying ways to reduce costs in the state’s Medicaid program for the poor and disabled, health insurance companies are making a business pitch.
Health plans could save the state roughly $100 million per year, they say, if Texas would give them more freedom to choose the drugs they think are most appropriate for Medicaid patients, likely allowing them to prescribe generic drugs over more expensive brands.
A study commissioned by the Texas Association of Health Plans, an industry group, found that Texas pays about the national average cost per prescription but prescribes name-brand drugs at a higher rate than all but five other states.
Source: Insurers Want More Room for Generic Drugs in Texas Medicaid TEXAS TRIBUNE