Question

Discuss the economic impact of high deductible health insurance plans on patients’ ability to pay for their medications. Describe the major factors that contribute to higher costs for prescription drugs and provide your opinion of the profit-seeking strategies of pharmaceutical companies.

Answer 1

The high deductible health insurance plans will increase the health insurance premiums which can make the health insurance plans unaffordable to the patients. The patients will have to choose the health insurance policies which are affordable to them. The low premium health insurance policies will not be sufficient to meet the expenses in relation to their medications. This can cause serious impacts over the economic conditions of the patients and their affordability in relation to health care.

One of the major reasons behind the high deductible health insurance plans is the higher costs for prescription drugs. Some of the reasons behind the higher costs of prescription drugs are discussed below

• The profit-seeking strategies of pharmaceutical organizations.
• The patent system for branded drugs reduces the competition and hence they can charge premium prices for the medicines.
• Increased demand for drugs, for example, the demand for drugs for treating cancer makes it costly.

Even though all the organizations operate for the profit, the profit-seeking strategy of the pharmaceutical organizations is unethical. This strategy is impacting the affordability of the population to buy medicines which can also impact their health critically or even lead them towards death. Making profit in such a manner is unethical and hence this strategy of the pharmaceutical organizations cannot be justified.