National Pharmaceutical Strategy

National Pharmaceutical Strategy

"Where the rules applicable to trade and industry are concerned, the business of developing, making and selling pharmaceuticals merits special consideration. It is a prominent and constantly expanding sector of commerce, but also one which is immensely powerful and influential in the entire process of health care. Above all, because of the nature of the products with which it is concerned, it is one with an unequalled potential to do good or harm in entire populations. Such power and influence bring with them social and moral duties; genuine respect for the pharmaceutical industry's achievements is today balanced by concern and criticism regarding its more questionable activities and practices, particularly in matters where commercial interests and the broad public interest do not run parallel."
Graham Dukes, The Law and Ethics of the Pharmaceutical Industry, p. vi.

Recognizing that the pharmaceutical industry "merits special attention", Canadian federal, provincial and territorial ministers met in 2004 and created a ministerial task force to craft a "National Pharmaceutical Strategy. In June of 2006 a "progress report" was finished and it was released in the Fall. Given the growing interest in the health care sector at Ivey and the general importance of this subject to researchers we have aggregated some relevant information and provide links to the pertinent documents and articles.

The June 2006 Report is presented in its entirety here.

Articles/Reports About the National Pharmaceutical Strategy

One reaction to the report took the form of an open letter to the ministers written by the Coalition for a Canadian Pharmaceutical Strategy. The coalition consists of five groups: the Best Medicines Coalition, Canadian Medical Association, Canadian Nurses Association, Canadian Pharmacists Association and Canadian Healthcare Association-representing patients, health professionals, health system managers and trustees. The statement is found here: http://www.bestmedicines.org/Home.aspx (click on Issues and Reports)

Face to Face: 2006 Forum on Optimizing Drug Plan Designs, Anonymous. Benefits Canada. Toronto: Feb 2007. Vol. 31, Iss. 2; p. A1 (3 pages)

. Lackluster Reaction to NPS Progress, Craig Sebastiano. Canadian Healthcare Manager. Toronto: Oct 2006. Vol. 13, Iss. 6; p. 11 (1 page)

. PHARMACEUTICAL FUNDING POLICIES,Anonymous. Canadian Healthcare Manager. Toronto: Sep 2006. Vol. 13, Iss. 5; p. 26 (2 pages)

. The Silent treatment, Nicholas Köhler. Maclean's. Toronto: Apr 3, 2006. Vol. 119, Iss. 14; p. 31 (1 page)

. Catastrophic Drug Coverage and the NPS,Fred Holmes. Benefits Canada. Toronto: Feb 2006. Vol. 30, Iss. 2; p. F2 (1 page)

Business Monitor Report

For a related report from one of out market research sources, please go to the Business Library site - Choose Business Databases by Subject and go to section C and choose Business Monitor Online. Search for National Pharmaceutical Strategy. Choose Pharmaceuticals and Healthcare from the drop down menu and Canada from the Select Geography drop down menu.

The introductory paragraph of this document reads as follows:

13 Oct 2006
National Pharmaceutical Strategy Stalls Due to political arguments and stakeholder intervention Canada's National Pharmaceutical Strategy (NPS) is not being implemented as planned, resulting in patients not receiving the most modern treatments. Accordingly, BMI has slightly lowered its forecasts for the Canadian healthcare market, which is now expected to reach US$117bn by 2010. ........

Additional Actions Taken by Various Provinces

Ontario
Ministry of Health and Long - Term Care

Transparent Drug System for Patients Act, 2006 - Bill 102 - The Transparent Drug System for Patients Act passed third and final reading on June 19, 2006. This legislation is part of the government's plan to reform the provincial drug system and deliver better value for money to the taxpayers of Ontario. The government plan is expected to save up to $277 million per year. These savings will be reinvested into the provincial drug system to support improved patient access to drugs. The government's plan includes : * Achieving significant savings through volume discounts for all drugs purchased for the Ontario Drug Benefit Program * Improving patient access to drugs through new conditional listings, Exceptional Access, and rapid reviews of innovative drugs * Listening to the views of Ontarians through a new Citizen's Council that will advise the Ministry on the social aspects of drug policies and priorities * Strengthening transparency by giving patients a role in drug listing decisions of the Committee to Evaluate Drugs * Recognizing the valuable role of pharmacists in patient care by paying them for enhanced patient counselling and other professional services * Utilizing the expertise of Ontario's pharmacists through a new Pharmacy Council to advise the Ministry and the Executive Officer of the public drug programs * Freeing doctors of the burden of paperwork associated with Section 8 drugs The province's Ontario Drug Benefit program provides drug coverage for the 2.2 million Ontarians who are seniors or who receive social assistance or provincial disability support. The information respecting the Ontario Drug Benefit Act and the Drug Interchangeability and Dispensing Fee Act regulations is not the official version and should not be relied on as authoritative. For the authoritative text of the law, see the official volumes and office consolidations printed by Publications Ontario. These regulations should be posted in several days on the e-laws website. In the event of any discrepancy between the aforementioned official versions, e-laws, and this website posting, the official versions should be treated as authoritative.

Alberta

In Alberta's Health and Wellness Business Plan - 2006-2009 there is a notation under Innovation of Alberta's promise to (6.13) Provide leadership on federal/provincial/territorial work to manage the growing cost of pharmaceuticals including the protection of Albertans from catastrophic drug costs.

Manitoba

Province of Manitoba News Release - Feb. 7, 2007
February 2, 2007

NEW PHARMACARE PROGRAM TO HELP MANITOBANS WITH HIGH DRUG COSTS NOW IN EFFECT– – –
Eligible Manitobans Can Now Pay Drug Deductibles in Monthly Instalments: Oswald

A new option to allow eligible Manitobans to pay their pharmacare deductible in monthly instalments is now in effect, Health Minister Theresa Oswald announced today. "Many Manitobans need prescription drugs to manage an illness and the costs for many of these drugs continue to rise," said Oswald. "This new program will allow people with high drug bills to pay their pharmacare deductible in monthly instalments, helping reduce financial hardships caused by high lump-sum drug costs." "The ability to pay the pharmacare deductible over several months will help many people with multiple sclerosis who face high drug costs," said Norm Velnes, president of the Manitoba Division of the Multiple Sclerosis Society of Canada. "This is a creative solution and we congratulate Manitoba Health for their hard work in making this program a reality." To be eligible for the Manitoba deductible instalment payment program, an individual must: -be enrolled with the Manitoba Pharmacare Program; -have eligible Manitoba pharmacare drug costs over a 30-day period that are equal to or above 25 per cent of their monthly income; -have reached or gone above their benefit limit for drug coverage they receive through another drug plan; and -pre-authorize withdrawals from their bank account by Manitoba Hydro for the cost of the deductible instalment and their hydro bill. It is estimated that as many as 19,000 Manitoba Pharmacare Program beneficiaries will be eligible to participate in the monthly deductible instalment program. "Many Manitobans, including seniors, are finding that rising drug costs are having serious effects on their finances and this program will be very helpful," said Healthy Living Minister Kerri Irvin-Ross, minister responsible for seniors. "Access to prescription drugs is an important part of maintaining and improving health, and pharmacists want their patients to be able to get the help they need," said Nancy Remillard, president of the Manitoba Society of Pharmacists. Manitobans will still have the option of paying their full deductible through their pharmacy. People eligible for the new program will only be able to pay the monthly instalments on their deductible through pre-authorized payments on their Manitoba Hydro bill. "We are happy to partner with Manitoba Health and use our billing system to assist the province in reaching out to Manitobans and make this important program possible," said Bob Brennan, president and CEO of Manitoba Hydro. The Manitoba Pharmacare Program covers 100 per cent of drug costs once the income-based deductible is reached. Manitoba and the Yukon are the only two provinces or territories with a deductible structure as the sole cost-sharing requirement. All other jurisdictions mandate co‑payments in conjunction with deductibles and/or premiums. "This innovative instalment program builds on the Manitoba Pharmacare Program, which offers the most comprehensive coverage of any province in Canada," said Oswald. "But as drug costs continue to rise, it is imperative that all provinces and the federal government continue to work together to develop a national catastrophic drug plan."

Manitobans can begin applying for this new program immediately by visiting their local pharmacy or by calling 945-1733 (in Winnipeg) or 1-888-519-3492 toll free.

British Columbia

Report 8 Managing Pharmacare
This section was taken from p. 75 of this report
"Since the previous audit, the ministry has put signifi cant effort into restructuring the PharmaCare program. A major change was necessary to ensure both the sustainability of British Columbia’s public drug program and equitable access for all British Columbians to drug coverage that protects them from catastrophic drug costs. Through this sizeable initiative, British Columbia PharmaCare took on leading edge policy reform and has led the way in defiing catastrophic drug coverage in Canada. Given the magnitude of this change to the program, considerable attention was paid to creating a progressive system to protect British Columbians and provide coverage to those who need it most, while also protecting the future of PharmaCare. Hundreds of potential program variations and options were modeled and thoroughly evaluated before the May 1, 2003 introduction of Fair PharmaCare, British Columbia’s income-based universal drug coverage plan. Through this plan, PharmaCare shifted its focus to providing greater financial assistance for families with lower incomes."