controversial healthcare reform, increased drug spending in germany

PharmacoEconomics & Outcomes News 424 - 9 Aug 2003 Controversial healthcare reform, increased drug spending in Germany A controversial agreement to slash healthcare costs has been reached after months of debate between the German government and opposition parties, reports the BMJ. 1 Plans to reduce the 2004 healthcare budget by 9.9 billion euros have been announced by the government; over the 3 years to 2007, savings are anticipated to increase to 23.1 billion euros. The radical reform will see patients paying more for treatment as coverage under health insurance schemes is cut, and will require all healthcare professionals to attend regular educational programmes or risk salary cuts or deregistration. The prescribing of less-costly drugs by general practitioners is also being encouraged in a bid to help reduce the government’s rising drugs bill. Meanwhile, Krankenkassen * spending on drugs continues to rise, says Scrip. 2 According to the scientific institute of the regional health insurance fund (AOK), medicines spending grew by 10.5% or 565 million euros during Q1 of 2003, compared with Q1 in 2002. The AOK maintains that a structural reform of the system, including pharmacies and the pharmaceutical sector, is required, and it requests, among other measures, the re- introduction of reference pricing for patent-protected medicines. * the German statutory sick funds 1. Burgermeister J. Germany reaches controversial deal on healthcare reform. BMJ 327: 250, No. 7409, 2 Aug 2003. 2. German medicines spending still on the rise. Scrip : 3, No. 2870, 25 Jul 2003. 800888830 1 PharmacoEconomics & Outcomes News 9 Aug 2003 No. 424 1173-5503/10/0424-0001/$14.95 Adis © 2010 Springer International Publishing AG. All rights reserved

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PharmacoEconomics & Outcomes News 424 - 9 Aug 2003

Controversial healthcare reform,increased drug spending in

GermanyA controversial agreement to slash healthcare costs

has been reached after months of debate between theGerman government and opposition parties, reports theBMJ.1

Plans to reduce the 2004 healthcare budget by 9.9billion euros have been announced by the government;over the 3 years to 2007, savings are anticipated toincrease to 23.1 billion euros. The radical reform will seepatients paying more for treatment as coverage underhealth insurance schemes is cut, and will require allhealthcare professionals to attend regular educationalprogrammes or risk salary cuts or deregistration. Theprescribing of less-costly drugs by general practitionersis also being encouraged in a bid to help reduce thegovernment’s rising drugs bill.

Meanwhile, Krankenkassen* spending on drugscontinues to rise, says Scrip.2 According to the scientificinstitute of the regional health insurance fund (AOK),medicines spending grew by 10.5% or 565 million eurosduring Q1 of 2003, compared with Q1 in 2002. TheAOK maintains that a structural reform of the system,including pharmacies and the pharmaceutical sector, isrequired, and it requests, among other measures, the re-introduction of reference pricing for patent-protectedmedicines.* the German statutory sick funds

1. Burgermeister J. Germany reaches controversial deal on healthcare reform. BMJ327: 250, No. 7409, 2 Aug 2003.

2. German medicines spending still on the rise. Scrip : 3, No. 2870, 25 Jul 2003.800888830

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