Generics Provide Significant Savings to Consumers

With generics, you get the same medicine as the brand name drugs with the same results, but at much more affordable costs. Generic medicines cost 30% to 80% less than brand medicines. According to the National Association of Chain Drug Stores, in 2006, the average retail price of a generic prescription drug was $32.23. The average retail price of a brand name prescription drug was $111.02.*

What accounts for the cost differences?

Generic companies do not have large advertising and marketing budgets and sales forces, so those costs are not passed on to consumers.

Studies have shown that with lower cost generics, patients are more likely to maintain their treatments and avoid hospital stays. This saves patients and the health care system billions of dollars each year and leads to better treatment and improved health.