A new Connecticut law that limits price increases on generic prescription drugs could save consumers more than $10 million this year, according to an analysis by the state Office of Health Strategy.
The law, which took effect on January 1, is the first of its kind in the nation.
It restricts wholesale distributors of generic drugs from raising prices above the annual rate of inflation.
“Now Connecticut has the strongest pro-consumer drug affordability law in the country. It is going to make a real difference,” sponsor of the law, state Senator Matt Lesser (D-Middletown), said at a briefing at the State Capitol on Wednesday.
“It doesn’t matter what kind of insurance you have, whether you have Medicaid, whether you are self-insured, whether you are Connecticut regulated, whether you are Medicare, it's going to help everyone,” Nora Duncan said, the state director of AARP Connecticut.
Gov. Ned Lamont said he’ll discuss with other governors about enacting similar laws when he meets with them at the National Governors’ Association gathering in Washington.
“In terms of pharmaceutical costs, I’ll be able to give this as an example of something we are doing, and we’ll see what other states want to follow us,” Lamont said.
“Maybe the little state of Connecticut doesn’t have much purchasing power when it comes to buying pharma. If we teamed up with Massachusetts and the other New England states, we’d have much more purchasing power to bring down costs for the state,” Lamont said.
More than 400 generic and off-patent prescription drugs are covered.
