Brand-to-generic drug switch cuts
A top Health Plan collaborated with Carenet to reduce company and consumer costs by educating members on the savings provided by generic statin drugs.
Prescription medications are one of the fastest-growing areas of U.S. healthcare spending. Generic drugs are priced 25 to 80 percent lower than their brand-name equivalents, saving consumers an estimated $8 to $10 billion a year according to the Congressional Budget Office. Substantial Plan and member savings could be generated if members switched their brand-name statin to a generic equivalent. Prior Plan initiatives, such as direct mail, yielded a very low response rate.
A tailored multi-channel outreach program focused on creating a personal one-to-one connection between a Carenet engagement specialist and each member. By calling members directly, the engagement experts were able to gain member trust, advise on the benefits of generic statins and a co-pay waiver available for the first month supply, and encourage them to make the switch.
Within six weeks, Carenet’s custom-made campaign and finely tuned engagement tactics achieved a 440 percent lift over the Plan’s prior direct mail campaign. More than 60 percent of members benefitted from the switch, saving each $250 to $500 per yearly prescription. The program yielded an annual savings of $4.7 million for the Plan and a corresponding $1.1 million in yearly savings for members.
As drug costs continue to rise and chronic-disease management needs grow, both payers and members seek strategies for lowering costs without compromising quality. Carenet’s pharmaceutical engagement programs can help. By reaching out to members and informing them of their options, engagement specialists save everyone money by helping members switch to generic drugs and enroll in mail-order service. With nearly 25 years of customer-relationship management experience in healthcare, Carenet knows how to deliver measurable results. Contact Carenet today to learn how you too can become a success story.