Tag: trump rx
Who Will Benefit From The Latest Version Of Trump RX? Not Most Consumers

Who Will Benefit From The Latest Version Of Trump RX? Not Most Consumers

I’m a relatively healthy 75-year-old man who takes one prescription drug, a generic statin to keep my cholesterol count below the level recommended for preventing heart attacks and strokes. Those levels were recently lowered by the American College of Cardiology and the American Heart Association, which will likely lead many more Americans to be eligible for taking the pills.

Both those facts piqued my curiosity about the announcement made Monday by Donald Trump with Mark Cuban, who runs Cost Plus Drugs, at his side. They were touting adding 602 generic drugs, including statins and blood pressure control meds, to TrumpRx, the government website that directs consumers looking for lower cost drugs to Cuban’s company GoodRx and Amazon Pharmacy.

Who will actually benefit from TrumpRx, I wondered, which is touting mostly generic drugs? And how much will they actually save?

First, I looked up what I could save by buying my generic statin from Cost Plus. Under my Medicare supplemental plan, which comes through my retired wife’s former employer (a public school system), CVS Caremark manages the pharmacy benefit. The PBM requires I pay a $20 co-pay at the pharmacy counter to obtain a 90-day supply of 20-milligram rosuvastatin, the generic name for Crestor.

Cuban’s Cost Plus mail-order website says it would charge me $7.85 for a 90-day supply plus a $5 shipping fee, thus saving me $7.15 for each refill or $28.60 a year. However, Cost Plus also tacks on a $5 pharmacy handling fee. It was unclear from the website if that was part of the $7.85. If not, adding that $20-a-year into the total cost would wipe out most of any savings for me.

I then called CVS Caremark to inquire about their savings should I decide to jump off their plan for those meager savings. I use the phrase “their savings” cautiously. I have no idea if my wife’s former employer or its plan’s medical insurer hires the nation’s second largest PBM, or how much either pays to CVS Caremark. Moreover, how much the PBM profits from the ultimate payer — the taxpayers behind the public employee retirement system — is unknown. So is the price it pays the generic manufacturer and any other middlemen that may have stuck their hands into the honey pot.

In any case, the call center operator told me the total cost to the PBM was $60.86 every 90 days. But that was before I paid $20 every three months at the pharmacy, so the cost reduction for everyone else would be about $164 a year, at least six times more than me. As noted above, how those savings would be divvied up between the PBM, the medical insurer and the employer-payer is safely contained in someone’s black box.

Will it benefit the uninsured?

How about the alleged major beneficiaries of TrumpRx — the uninsured who have to pay for any health care out of their own pockets? Their ranks are growing daily due to this year’s massive increase in rates for Affordable Care Act plans triggered by the regime’s handmaidens in the Republican-run Congress, who allowed the Biden-era increase in plan subsidies to expire.

When ACA-insured, the people dropping plans paid nothing for their cholesterol and blood pressure control medications, even if their plan had deductibles. All preventive services rated “A” or “B” by the U.S. Preventive Services Task Force must be offered free of charge under the ACA. Statins are rated “B.”

But under TrumpRx, those dropping coverage (or those that never had a plan in the first place) will have to pay the full cost. If they turn to Cost Plus Drugs, that would be at least $52 a year with maybe an additional $20 for the pharmacy fee.

Of course, both groups could run into trouble when renewing their prescriptions if they no longer have or never had a primary care physician. When signing up for Cost Plus Drugs, which I did today, I had to provide the name and contact information for my prescribing physician.

Even if they can get past that hurdle, people who are uninsured are usually pinching pennies. They no longer have a primary care physician. They don’t go in for routine checkups, which might identify when they have high blood pressure or dangerously elevated cholesterol. They are less likely to adhere to diets with less salt and less processed foods, which promote better heart health.

The ACA had it right. Drugs that have been proven to prevent serious diseases should be entirely free of charge to the consumer/patient. They are a wise investment that pays off in reduced hospitalizations and reduced complications from chronic diseases, which in turn reduces long-term health care costs. Plans like my supplemental should eliminate their co-pays entirely for such drugs, especially when they are generics like most statins and blood pressure meds.

TrumpRx sets up a financial barrier to access. It will decrease the population taking these important interventions. It is a public relations stunt designed to look like the regime is doing something about the high cost of drugs, which is entirely driven by the cost of new drugs coming to market and the high prices on those that remain on patent, not the extra fees PBMs tack onto prices.

Paying for value

One final thought: The regime is stepping up its pressure on European countries to raise their drug prices, which are substantially less than what is paid in the U.S. Why? Other advanced industrial countries are effective drug price negotiators. They refuse to pay more than the carefully calculated medical value of a prescription.

The U.S., on the other hand, insists that foreigners pay their “fair share” for innovation instead of using the same negotiating and value measurement tactics. Big Pharma’s argument — that the high cost of drugs is driven by the high cost of research and development — never held much water and has grown increasingly shallow given how much innovation has moved to China in the wake of the regime’s immigration policies and gutting of National Institutes of Health funding.

This Trump regime’s attempt to impose so-called reference pricing is, in essence, a strategy to maintain as much revenue as possible flowing to Big Pharma. It provides no long-term brake on rising costs. The U.S. would pay slightly less; other industrialized countries would pay slightly more; less developed countries would continue to go without the latest therapeutics; and the drug industry would maintain the status quo on profitability.

Merrill Goozner, the former editor of Modern Healthcare, writes about health care and politics at GoozNews.substack.com, where this column first appeared. Please consider subscribing to support his work.

Reprinted with permission from Gooz News


Trump Rx Does Nothing For Patients, While His Billion-Dollar Heist Proceeds

Trump Rx Does Nothing For Patients, While His Billion-Dollar Heist Proceeds

This country has had some bad presidents, but it’s a bit hard to imagine a president whose main goal is to put his name on things and who would openly steal billions from the Treasury. But that is Donald Trump.

Starting with the quest to get his name on stuff. We now have the Donald J. Trump Institute of Peace, which used to be the United States Institute of Peace, before Elon Musk shut it down. We have the Donald J. Trump John F. Kennedy Memorial Center, which Trump also shut down. There are also the Trump accounts which will allow homeless and hungry kids to have accounts that pay fees to a brokerage house.

And now we have Trump Rx, which is supposed to be Donald Trump’s big effort to make drugs cheaper; 1500% cheaper according to people named Donald Trump. This could just be a funny joke if paying for drugs was not such a major problem for many people with serious medical conditions.

Despite Trump’s boasts of being a master negotiator, people will not find much in the way by deals at Trump Rx. It doesn’t actually provide new discounts on drugs. The site just gives people coupons that allow them to get the discounted prices that the companies already offered on their websites.

Even worse, more than half (26 of 43) of the drugs on Trump Rx are already available as low-cost generics at prices far lower than the prices the site offers. To take the example posted on MSN’s site, Trump Rx offers a 30-day supply of the antidepressant drug Pristiq for $200, which is less than half of the list price. However, a generic version of the drug is available at GoodRx for $30 and at Mark Cuban’s CostPlusDrugs for $16.65.

This means that someone buying Pristiq from Trump Rx would be paying 1100 percent more than they would at Mark Cuban’s site. That doesn’t sound like the road to affordability.

For anyone interested in what we are actually paying for drugs, the answer is 7.5 percent more in 2025 than in 2024. In Trump’s loony-tune head prices might be falling by more than 1000 percent, but when it comes to people’s pocketbooks, they are paying more for drugs.

Trump’s $10 Billion Heist from Taxpayers

I know I have written about this one before, but the theft is so large and so open that it’s hard to stop talking about it. Trump is filing an absurd lawsuit against the Internal Revenue Service and then instructing his lackeys to hand over the money. It is hard to imagine a more open theft of taxpayer dollars.

To be fair, there is some basis for the lawsuit. The I.R.S. allowed Trump’s tax returns for two years to leak, revealing that he paid almost no taxes.

Returns are supposed to be kept secret, so there was an actual wrong committed against Trump. But where the hell does he get $10 billion in damages? There were 40 other rich people who had their returns leaked. If we handed $10 billion to each of them it would come to $400 billion, or nearly half of the Defense Department’s budget.

Realistic damages may come into the tens of thousands of dollars, or maybe low hundreds. After all, Trump is the ultimate public figure, all prior presidents for decades had freely released their tax returns, and Trump had promised to do so as well. So, the leaker was just helping Trump keep his promise. How is Trump damaged by having information made public that he had actually promised to make public himself?

It is almost impossible to fathom how large Trump’s attempted theft from the Treasury is. The Republicans for years made a huge deal out of the fact that Hunter Biden got around $1.5 million for his paintings. Let’s grant that people bought the paintings with the idea of getting influence with President Biden. Hunter’s take was less than 1/6000th of what Trump is putting in his pocket.

It’s the same story with Hunter Biden and Burisma. He got between $2 and $4 million for his work for the company. Again, we can assume this was with the expectation that he would get favors from his father. We know he never did because Republicans spent five years looking for the favors and came up empty. Since Trump’s haul is between 2,500 and 5,000 times as much, an equivalent investigation would take between 12,500 and 25,000 years.

Trump likes to boast about things he has done that no one ever thought was possible. Sometimes his boasts are about things that everyone thought were possible and sometimes they are about things that Trump hasn’t done. But in this case Trump would be right; no one ever thought it was possible for a president to steal $10 billion from the government right in front of everyone’s eyes.

Correction

I had a couple of readers inform me that I had mispresented steps involved in the Trump lawsuit against the I.R.S. While Trump can order the I.R.S. to agree to pay him $10 billion, a judge will ultimately have to approve the settlement. Given the absurdity of the case, it seems that any judge not appointed by Donald Trump, and even some who were, would throw the suit out.

On this point, another reader pointed out to me that one of the other rich people who got their returns leaked, Ken Griffin, did in fact sue the I.R.S. The judge in the case ruled that Griffin did in fact have a course of action, since the I.R.S. should not have allowed the returns to become public. However, the judge said that Griffin had not shown any evidence he was damaged in any way by the leak.

Applying the same logic to Trump, he would have even less basis for damages since as an incredibly public figure, he has less basis for a claim to privacy. Also, his enormous platform gives him ample opportunity to respond to any wrong impressions that may have resulted from his leaked tax returns.

It is worth pointing out that Trump’s $230 million case against the Justice Department, because they tried to prosecute him for attempting to overthrow the government and steal classified documents, is different in this respect. That is an administrative action that will be decided entirely by Trump appointees in the Justice Department. No judge has to sign off on the agreement, so this is Trump just choosing to hand taxpayer dollars to himself.

Dean Baker is a senior economist at the Center for Economic and Policy Research and the author of the 2016 book Rigged: How Globalization and the Rules of the Modern Economy Were Structured to Make the Rich Richer. Please consider subscribing to his Substack.

Reprinted with permission from Dean Baker.

Shop our Store

Headlines

Editor's Blog

Corona Virus

Trending

World