Drug makers give prescription drugs to low-income people
March 22, 1999
BY BOAZ HERZOG Free Press Business Writer
For years, Charlotte Latiker was confronted with a wrenching decision: Do I eat or pay for my medication? Most of the time, she chose medication.
"It was terrible," she said. "I was in constant pain."
Plagued by rheumatoid arthritis -- a debilitating, chronic disease that causes inflammation, pain and swelling of the joints -- Latiker, a 52-year-old Romulus resident, was forced to quit her job as a therapist's assistant 15 years ago.
She lived on paltry workers compensation and later on disability insurance checks, often spending almost half her income on prescription drugs.
Then four years ago, a pharmacist told her she could receive medication free.
She discovered that most major pharmaceutical companies have patient assistance programs that provide free prescriptions -- including lifestyle drugs such as Pfizer's Viagra for impotence and Merck's Propecia for hair loss -- to low-income people who don't have private insurance and don't qualify for government insurance programs.
But many low-income people are unaware they could be receiving prescription drugs for free, advocates for the poor say.
The number of prescriptions dispensed in the United States grew 8 percent last year to 2.6 billion, according to IMS Health, a Plymouth Meeting, Pa., health research company. That equates to an annual average of nearly 10 prescriptions per person.
But many people such as Latiker can't afford pricey pills.
Almost one in seven Americans -- 35.6 million -- lives in poverty. And the cost of prescription drugs is rising. Prices climbed 3.9 percent during the last three months of 1998 compared with the same period a year earlier, far outdistancing the overall 1.5-percent U.S. inflation rate, according to IMS Health.
Pharmaceutical companies organized their drug assistance programs after Congress backed off threats to regulate drug prices in 1992. Many drug makers now offer most of their products free to people who meet guidelines.
But some doctors shy away from the programs because of the paperwork, and some in need of prescriptions are too embarrassed to seek help.
Nevertheless, the number of pharmaceutical companies offering free prescriptions is increasing. Forty-eight drug programs were listed in the 1998 directory compiled by the Pharmaceutical Research and Manufacturers of America, a Washington lobby that represents about 90 percent of the industry.
At least three more companies will be included in the 1999 list, a spokesman said.
About 1.4 million Americans received free prescriptions from the drug makers offering patient assistance programs last year.
Hundreds of thousands of Michiganders also accepted free and low-cost drugs through several community and state programs. The State of Michigan spent an estimated $500 million last year on prescription drugs for its 1.1 million enrollees in Medicaid, a federal-state health insurance program for the needy and disabled.
"There are all sorts of services out there for people, but they don't know what they are. It's pathetic," said Carolyn George, chief executive officer of World Medical Relief. The Detroit agency gave away $1.7 million worth of drugs to about 1,500 people in Wayne, Oakland and Macomb counties last year.
How programs work
"I dread every time I have to do this," said Latiker, who fills out application forms every three months for two medications -- Imuran for arthritis and Capocide for hypertension -- she gets free from pharmaceutical companies.
She would normally spend about $180 a month for the two drugs. But through the drug makers she pays $13 a month to her pharmacist for the cost of dispensing the medication.
Latiker and her doctor each must fill out different portions of the application forms, which require data on income and expenses. The forms are then sent to the drug companies, which either relay the requested medication directly to the doctor or send the patient a card to use at a pharmacy.
Latiker knows how the system works, but she said it can be bewildering and disheartening for first-time applicants. The biggest problem, she said, was getting doctors to cooperate.
"It was a big struggle at first. I've been belittled. I've never been so put down in my life. I went through a lot of depression," she said.
"The doctors don't want to be bothered. They'll write the prescription and that's it. I had one doctor tell me to discontinue the medication because he didn't want to sign me up to get it. I had one pharmacist say that he'd rather that I go somewhere else."
Latiker now spends about $70 to $80 a month -- about 10 percent of her monthly disability income -- out-of-pocket on four other drugs she takes for arthritis and pain. She said she's reluctant to apply to receive them free through the manufacturer.
"I'm kind of embarrassed to keep asking the doctor," she said.
At the Thomas Judd Care Center in Traverse City, Mary Dillinger, an HIV clinical nurse specialist and case manager, sees people with mind-sets similar to Latiker's.
"Often when we as health care providers give someone a prescription, we don't ask them if they are going to be able to purchase it," she said. "We've assumed they've taken it. The problem is that they don't tell you they can't afford it. Many are proud. They just quietly leave and never fill the prescription."
As a result, Dillinger said, she spends much of her time assessing patients' needs and trying to sift her way through the free-drug application forms.
"Some of the drug companies' processes are very streamlined and easy to do without a lot of hassle, and others require your first-born child," she said.
The drug companies say that help is available for confused applicants.
"If a doctor calls us and says the paperwork is too complicated, we have someone who will walk them through it," said Ramona DuBose, a spokeswoman for Glaxo Wellcome. Last year the North Carolina company gave away $25 million in free drugs through its patient assistance program, helping about 20,000 people a month, she said.
Spreading the word
The drug makers don't publicize the free drug programs to the people who would benefit from them. Instead, they rely on patient advocates -- doctors, nurses, pharmacists and social workers -- to spread the word, said Mark Grayson, spokesman for the Pharmaceutical Research and Manufacturers of America,
"Doctors know about it, and social workers know about it," he said. "There's a lot of places where this information exists."
Some doctors disagree.
Joseph Weiss, a rheumatologist with a private practice in Livonia, said he had never heard of the free drug programs until one of his patients, Latiker, asked him to fill out some forms.
"She had to educate me," Weiss said.
He said pharmaceutical sales representatives visit him at least once a week and often give him free drug samples. But Weiss doesn't rely on the samples to treat his patients.
"Giving sample after sample is not a good way of doing things, because most run out," he said.
The sales representatives never discuss patient assistance programs, he said.
"No one's ever said, 'Oh, and by the way, there's this program we have that gives free drugs to people who can't afford them.' Somebody might have mentioned it in passing once," Weiss said.
Other doctors might know about the programs, but they are used sparingly, said David Fox, spokesman for the Michigan State Medical Society.
"They either give out free samples, or every once in a while they'll use the programs, but it's not anything that has widespread use," he said.
Help in Detroit
Some of the free drug samples that doctors receive eventually make their way to World Medical Relief on Detroit's east side.
On the second floor of the nine-story brick building, nine grocery carts sit filled with small packages of drug samples.
Volunteers use dental picks to pop out the pills into plastic bags, which litter tables and shelves in the small warehouse. Pharmacists then count out the required prescription and send it down to patients such as Detroiter Charles Hughes, who waits on the first floor.
Hughes said he's been coming to World Medical Relief for the last year to receive two prescriptions for his arthritis, which makes it difficult for him to sit or walk.
"It does relieve the pain some," he said.
He pays the agency a $2-per-prescription handling fee. The two drugs normally would cost about $160 a month, said Hughes, who lives on a $760 monthly Social Security check.
"I don't have money to get it at the drugstore," he said. "I can't afford that. I can take aspirin, but that doesn't do any good."
World Medical Relief, a United Way agency, gets about 80 percent of the drugs it dispenses from metro Detroit doctors donating unused samples. The remaining medication is bought using funding from United Way and othercharitable foundations.
"What if all this were wasted and gone to the dump?" asked Pat Roos, one of the agency's two paid pharmacists, shaking her head. "I believe in this program. People are being helped."
Contact Boaz Herzog at herzog@freepress.com or at 1-313-222-6731.
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