Branded vs. generic U.S. drug prescriptions dispensed 2005-2021
The proportion of branded vs. generic drug prescription dispensed in the U.S. has decreased since 2005. In 2005, some 40 percent of prescriptions dispensed were brand name drugs and around 50 percent of drugs dispensed were unbranded generic drugs. For comparison, in 2021, only eight percent of prescriptions were brand-name drugs while nearly 89 percent were unbranded generic drugs.
What are generics?
Generic medications are drugs created with the same ingredients as brand-name drugs, but are not created under the umbrella of a brand. They are made to work exactly the same way that brand-name drugs work but are often cheaper. The top generic drug companies in the U.S. included Teva, Mylan and Novartis. Generic drugs provide a large proportion of all pharmaceuticals dispensed. Among all pharmaceutical products dispensed in the U.S., levothyroxine, a drug used to treat hypothyroidism, is among the top drugs based on number of prescriptions dispensed.
Cost savings through generics
Generic drugs provide an immense amount of savings for consumers in the U.S. The amount of money saved by the U.S. health system through generic usage has more than doubled since 2008. Direct savings for consumers depends on the payer. Commercial insurance coverage had the highest degree of cost savings in the U.S. and those that paid out-of-pocket had the lowest savings in 2020. However, branded drugs still account for 84 percent of total U.S. pharmaceutical invoice spending.
What are generics?
Generic medications are drugs created with the same ingredients as brand-name drugs, but are not created under the umbrella of a brand. They are made to work exactly the same way that brand-name drugs work but are often cheaper. The top generic drug companies in the U.S. included Teva, Mylan and Novartis. Generic drugs provide a large proportion of all pharmaceuticals dispensed. Among all pharmaceutical products dispensed in the U.S., levothyroxine, a drug used to treat hypothyroidism, is among the top drugs based on number of prescriptions dispensed.
Cost savings through generics
Generic drugs provide an immense amount of savings for consumers in the U.S. The amount of money saved by the U.S. health system through generic usage has more than doubled since 2008. Direct savings for consumers depends on the payer. Commercial insurance coverage had the highest degree of cost savings in the U.S. and those that paid out-of-pocket had the lowest savings in 2020. However, branded drugs still account for 84 percent of total U.S. pharmaceutical invoice spending.
