The effect of new drug pricing systems and new reimbursement guidelines on pharmaceutical expenditures and prescribing behavior among hypertensive patients in Korea

Mee Hyun Cho, Ki Bong Yoo, Hoo Yeon Lee, Kwang Sig Lee, Jeoung A. Kwon, Kyu Tae Han, Jae Hyun Kim, Euncheol Park

Research output: Contribution to journalArticle

5 Citations (Scopus)

Abstract

Objective: The purpose of this study was to determine the effects of a new drug-pricing system (January 2012) and new prescription and reimbursement guidelines (January 2013) on hypertension-related pharmaceutical expenditures and prescribing behaviors in Korea. Methods: In all, 11,298 clinics and 2,667,132 patients with hypertension were included in our study. As dependent variables, we used the drug cost per patient, drug cost per prescribed day, number of drugs per prescription, number of prescribed days per visit, number of visits, number of original (vs. generic) drugs prescribed, and the percentage of original drug cost. Clinic characteristics and patients' age and sex were used as independent variables. Multi-level mixed-effect regression models were used. Results: The drug cost per patient decreased by -1446 KRW$ (-7.4%; p<. 0.001) in Q4 2012 and by -1833 (-9.3%; p<. 0.001) in Q2 2013 compared with Q4 2011. Number of drugs per prescription decreased significantly. The percentage of original drug cost and the number of original drugs also declined. Conclusion: Reforms to the drug pricing policy and the new guidelines may reduce pharmaceutical expenditures without increasing number of drugs per prescription and the number of original drug used. Policy makers should consider the comprehensive effects of implementing new policies on both drug prices and consumption.

Original languageEnglish
Pages (from-to)604-611
Number of pages8
JournalHealth Policy
Volume119
Issue number5
DOIs
Publication statusPublished - 2015 Jan 1

Fingerprint

Korea
Health Expenditures
Drug Costs
Guidelines
Costs and Cost Analysis
Drug Prescriptions
Pharmaceutical Preparations
Hypertension
Generic Drugs
Administrative Personnel
Prescriptions

All Science Journal Classification (ASJC) codes

  • Health Policy

Cite this

Cho, Mee Hyun ; Yoo, Ki Bong ; Lee, Hoo Yeon ; Lee, Kwang Sig ; Kwon, Jeoung A. ; Han, Kyu Tae ; Kim, Jae Hyun ; Park, Euncheol. / The effect of new drug pricing systems and new reimbursement guidelines on pharmaceutical expenditures and prescribing behavior among hypertensive patients in Korea. In: Health Policy. 2015 ; Vol. 119, No. 5. pp. 604-611.
@article{a0b1eb49bd034410badc9b5125ce645b,
title = "The effect of new drug pricing systems and new reimbursement guidelines on pharmaceutical expenditures and prescribing behavior among hypertensive patients in Korea",
abstract = "Objective: The purpose of this study was to determine the effects of a new drug-pricing system (January 2012) and new prescription and reimbursement guidelines (January 2013) on hypertension-related pharmaceutical expenditures and prescribing behaviors in Korea. Methods: In all, 11,298 clinics and 2,667,132 patients with hypertension were included in our study. As dependent variables, we used the drug cost per patient, drug cost per prescribed day, number of drugs per prescription, number of prescribed days per visit, number of visits, number of original (vs. generic) drugs prescribed, and the percentage of original drug cost. Clinic characteristics and patients' age and sex were used as independent variables. Multi-level mixed-effect regression models were used. Results: The drug cost per patient decreased by -1446 KRW$ (-7.4{\%}; p<. 0.001) in Q4 2012 and by -1833 (-9.3{\%}; p<. 0.001) in Q2 2013 compared with Q4 2011. Number of drugs per prescription decreased significantly. The percentage of original drug cost and the number of original drugs also declined. Conclusion: Reforms to the drug pricing policy and the new guidelines may reduce pharmaceutical expenditures without increasing number of drugs per prescription and the number of original drug used. Policy makers should consider the comprehensive effects of implementing new policies on both drug prices and consumption.",
author = "Cho, {Mee Hyun} and Yoo, {Ki Bong} and Lee, {Hoo Yeon} and Lee, {Kwang Sig} and Kwon, {Jeoung A.} and Han, {Kyu Tae} and Kim, {Jae Hyun} and Euncheol Park",
year = "2015",
month = "1",
day = "1",
doi = "10.1016/j.healthpol.2015.01.002",
language = "English",
volume = "119",
pages = "604--611",
journal = "Health Policy",
issn = "0168-8510",
publisher = "Elsevier Ireland Ltd",
number = "5",

}

The effect of new drug pricing systems and new reimbursement guidelines on pharmaceutical expenditures and prescribing behavior among hypertensive patients in Korea. / Cho, Mee Hyun; Yoo, Ki Bong; Lee, Hoo Yeon; Lee, Kwang Sig; Kwon, Jeoung A.; Han, Kyu Tae; Kim, Jae Hyun; Park, Euncheol.

In: Health Policy, Vol. 119, No. 5, 01.01.2015, p. 604-611.

Research output: Contribution to journalArticle

TY - JOUR

T1 - The effect of new drug pricing systems and new reimbursement guidelines on pharmaceutical expenditures and prescribing behavior among hypertensive patients in Korea

AU - Cho, Mee Hyun

AU - Yoo, Ki Bong

AU - Lee, Hoo Yeon

AU - Lee, Kwang Sig

AU - Kwon, Jeoung A.

AU - Han, Kyu Tae

AU - Kim, Jae Hyun

AU - Park, Euncheol

PY - 2015/1/1

Y1 - 2015/1/1

N2 - Objective: The purpose of this study was to determine the effects of a new drug-pricing system (January 2012) and new prescription and reimbursement guidelines (January 2013) on hypertension-related pharmaceutical expenditures and prescribing behaviors in Korea. Methods: In all, 11,298 clinics and 2,667,132 patients with hypertension were included in our study. As dependent variables, we used the drug cost per patient, drug cost per prescribed day, number of drugs per prescription, number of prescribed days per visit, number of visits, number of original (vs. generic) drugs prescribed, and the percentage of original drug cost. Clinic characteristics and patients' age and sex were used as independent variables. Multi-level mixed-effect regression models were used. Results: The drug cost per patient decreased by -1446 KRW$ (-7.4%; p<. 0.001) in Q4 2012 and by -1833 (-9.3%; p<. 0.001) in Q2 2013 compared with Q4 2011. Number of drugs per prescription decreased significantly. The percentage of original drug cost and the number of original drugs also declined. Conclusion: Reforms to the drug pricing policy and the new guidelines may reduce pharmaceutical expenditures without increasing number of drugs per prescription and the number of original drug used. Policy makers should consider the comprehensive effects of implementing new policies on both drug prices and consumption.

AB - Objective: The purpose of this study was to determine the effects of a new drug-pricing system (January 2012) and new prescription and reimbursement guidelines (January 2013) on hypertension-related pharmaceutical expenditures and prescribing behaviors in Korea. Methods: In all, 11,298 clinics and 2,667,132 patients with hypertension were included in our study. As dependent variables, we used the drug cost per patient, drug cost per prescribed day, number of drugs per prescription, number of prescribed days per visit, number of visits, number of original (vs. generic) drugs prescribed, and the percentage of original drug cost. Clinic characteristics and patients' age and sex were used as independent variables. Multi-level mixed-effect regression models were used. Results: The drug cost per patient decreased by -1446 KRW$ (-7.4%; p<. 0.001) in Q4 2012 and by -1833 (-9.3%; p<. 0.001) in Q2 2013 compared with Q4 2011. Number of drugs per prescription decreased significantly. The percentage of original drug cost and the number of original drugs also declined. Conclusion: Reforms to the drug pricing policy and the new guidelines may reduce pharmaceutical expenditures without increasing number of drugs per prescription and the number of original drug used. Policy makers should consider the comprehensive effects of implementing new policies on both drug prices and consumption.

UR - http://www.scopus.com/inward/record.url?scp=84933679609&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84933679609&partnerID=8YFLogxK

U2 - 10.1016/j.healthpol.2015.01.002

DO - 10.1016/j.healthpol.2015.01.002

M3 - Article

VL - 119

SP - 604

EP - 611

JO - Health Policy

JF - Health Policy

SN - 0168-8510

IS - 5

ER -