Medicare Part D plans are slower than commercial plans to adopt new generics, and even when adopted, the generics are less likely to be part of a generic cost tier. That’s according to a new report from the Association for Accessible Medicines that examines the speed of first generics entering formulary coverage for both Medicare Part D plans and commercial plans.
The most recent example the report cites is from 2020, when 72 generics were approved as the initial generic available for a certain drug. AAM’s analysis found that, only 21% of these generics were covered by Medicare Part D plans on average. When they were covered by Part D plans, they were placed on non-generic tiers 79% of the time. Among commercial plans this year, an average of 66% of plans adopted the new generics launched in 2020, ending up on generic tiers 98% of the time.