NEW YORK—A new study released on Sunday by Councilman Eric Gioia (D-Queens) reveals that prescription drug prices differ by as much as 700 percent between pharmacies within and across the five boroughs of New York City. The councilman urged the state to enhance consumer protection measures to ensure fair pricing.
“New Yorkers expect and deserve to know that when they go to the drug store they are getting the best deal possible,” noted Councilman Gioia, who is the chairman of the Council Committee on Oversight and Investigations.
“Millions of New Yorkers rely on prescription drugs to live fuller, healthier lives—and they should not have to think twice about getting them because they’re being overcharged. The State needs to do a better job making sure consumers have the most up to date information possible so they can make good choices about where to get their prescription drugs,” he added.
The study examined prices of five commonly prescribed medications, including Celebrex, Metoprolol, Lipitor, Albuterol and Metformin. The highest price variance of nearly 730 percent was noted for Metoprolol, which cost $8.95 at a pharmacy in Staten Island and $75 in Chinatown. The price of Metformin also differed from $8.75 in Queens to over $55 in Manhattan, marking a greater than 500 percent increase. Lipitor and Albuterol prices varied by nearly 90 percent between retailers in Manhattan and those in the Bronx and Queens, respectively, and the price of Celebrex differed by over 50 percent between surveyed pharmacies in Brooklyn and Manhattan.
Prices also varied greatly within local neighborhoods. Albuterol’s cost in one Manhattan pharmacy was twice that in another establishment less than a block away. A similar trend was observed for the other surveyed drugs, with prices varying by 20 to 30 percent between retailers located only several blocks from one another.
Previous investigations conducted by Councilman Gioia in 2004 and 2006 reported similar disparities between prescription drug prices, and led to the implementation of a state-run Web site in 2008 to track prescription drug costs for consumers.
The current investigation found that online prices reported by the state differed greatly from the actual prices charged by the pharmacies, with drug prices not listed altogether at many pharmacies. Forty-five percent of pharmacies did not list Metoprolol price online. Of the 55 percent of vendors with listed Metoprolol price, only one pharmacy’s online price matched the price reported over the phone during the survey. The released findings also noted that several listings have not been updated since 2007, despite the legal requirement for weekly updates.
Councilman Gioia called on the state to enhance consumer protection by providing more accurate online pricing information for prescription medications. His proposal includes amending the current system, which uses Medicaid-provided information to update the Web site, to require direct reporting of prices from the pharmacies to the state. The councilman also proposed that the state conduct regular audits of pharmacy pricing in order to ensure accuracy of the Web-based information relayed to consumers.
Councilman Gioia urged consumers to inquire about prices at multiple local pharmacies prior to purchasing medications. Current rules require pharmacies provide consumers with an up-to-date list of prices for the 150 most commonly prescribed medications when requested in person. Councilman Gioia also urged consumers to report potential overcharging to the New York State Department of Health.
“New Yorkers expect and deserve to know that when they go to the drug store they are getting the best deal possible,” noted Councilman Gioia, who is the chairman of the Council Committee on Oversight and Investigations.
“Millions of New Yorkers rely on prescription drugs to live fuller, healthier lives—and they should not have to think twice about getting them because they’re being overcharged. The State needs to do a better job making sure consumers have the most up to date information possible so they can make good choices about where to get their prescription drugs,” he added.
The study examined prices of five commonly prescribed medications, including Celebrex, Metoprolol, Lipitor, Albuterol and Metformin. The highest price variance of nearly 730 percent was noted for Metoprolol, which cost $8.95 at a pharmacy in Staten Island and $75 in Chinatown. The price of Metformin also differed from $8.75 in Queens to over $55 in Manhattan, marking a greater than 500 percent increase. Lipitor and Albuterol prices varied by nearly 90 percent between retailers in Manhattan and those in the Bronx and Queens, respectively, and the price of Celebrex differed by over 50 percent between surveyed pharmacies in Brooklyn and Manhattan.
Prices also varied greatly within local neighborhoods. Albuterol’s cost in one Manhattan pharmacy was twice that in another establishment less than a block away. A similar trend was observed for the other surveyed drugs, with prices varying by 20 to 30 percent between retailers located only several blocks from one another.
Previous investigations conducted by Councilman Gioia in 2004 and 2006 reported similar disparities between prescription drug prices, and led to the implementation of a state-run Web site in 2008 to track prescription drug costs for consumers.
The current investigation found that online prices reported by the state differed greatly from the actual prices charged by the pharmacies, with drug prices not listed altogether at many pharmacies. Forty-five percent of pharmacies did not list Metoprolol price online. Of the 55 percent of vendors with listed Metoprolol price, only one pharmacy’s online price matched the price reported over the phone during the survey. The released findings also noted that several listings have not been updated since 2007, despite the legal requirement for weekly updates.
Councilman Gioia called on the state to enhance consumer protection by providing more accurate online pricing information for prescription medications. His proposal includes amending the current system, which uses Medicaid-provided information to update the Web site, to require direct reporting of prices from the pharmacies to the state. The councilman also proposed that the state conduct regular audits of pharmacy pricing in order to ensure accuracy of the Web-based information relayed to consumers.
Councilman Gioia urged consumers to inquire about prices at multiple local pharmacies prior to purchasing medications. Current rules require pharmacies provide consumers with an up-to-date list of prices for the 150 most commonly prescribed medications when requested in person. Councilman Gioia also urged consumers to report potential overcharging to the New York State Department of Health.
