A company that manages prescription drug costs for West Virginias health insurance plan says it sold information about prescriptionswhat doctors wrote and what public employees tookto two unidentified data-mining organizations.
Express Scripts, St. Louis, the pharmacy benefit manager for the Public Employees Insurance Agency, stopped the practice Oct. 1 at the state agencys request, according to a letter obtained by the Charleston (W.Va.) Gazette.
Opponents of the disclosures say drug companies boost income by using the information to encourage doctors to prescribe brand-name medications instead of cheaper, generic equivalents. They use this information in a very sophisticated pitch, and it drives up brand-name drug costs, said Perry Bryant, executive director of West Virginians for Affordable Health Care.
The Nov. 14 letter from Express Scripts was in response to a request from Legislative Manager Aaron Allred, whose office is conducting an audit of the state agency. In it, an Express Scripts executive says the company never sold Public Employees Insurance Agency information directly to pharmaceutical manufacturers, but Public Employees Insurance Agency medication data was sold to two healthcare data aggregators. Typically data aggregators compile and analyze prescription information and then sell it to drug companies.
Express Scripts is complying with the state of West Virginias request and is no longer providing nonidentifiable physician prescribing information to data aggregators, company spokeswoman Rita Holmes-Bobo said in a prepared statement. -- by the Associated Press
What do you think? Post a comment on this article and share your opinion with other readers. Submit your letter to Modern Healthcare Online at [email protected]. Please be sure to include your hometown and state, along with your organization and title.