Kansas City, Kan. -- In past months, large retailers have made news with plans to reduce the cost of some generic prescriptions. Now months later, the newly-released Compensation Data 2007 – Illinois results have revealed prescription co-pay costs have increased since 2006 across all drug levels and plan types. Nationally, prescription co-pays have increased since 2005 for non-formulary and formulary drugs, while generic co-pays have seen little change in 2007.
Non-formulary drugs have risen steadily in cost over the last two years in Illinois. POS plans had the highest co-pay with $43.00 and were followed closely by PPO plans with $42.38, a difference of $0.62. Since 2005, non-formulary co-pays for PPO plans have increased by 8.3 percent. A smaller increase was seen in POS plans, 4.8 percent.
While co-pays for non-formulary drugs have increased in Illinois, formulary drugs have also seen a consistent rise in cost across most flat dollar health plans. In 2005, the average cost of formulary drugs on PPO plans was $23.62. This number has increased by 5 percent over the last three years. Although POS plans had the highest formulary cost this year at $26.00, Indemnity, HMO and PPO plans all hovered around $24.00.
In comparison, co-pays for generic drugs have stayed around $11.00 for the last three years. According to the newly released results, PPO plans had the lowest cost with $11.61. The average co-pay for a POS plan followed closely at $11.65 for generic drugs, and HMO plans are at $11.78. Since 2005, generic co-pays have seen a 5.7 percent increase on PPO plans in Illinois.
"Despite reductions in health care coverage, the results have shown employers are still offering prescription plans as part of their health insurance," said Amy Kaminski, manager of marketing programs for Compdata Surveys, the nation’s leading compensation and benefits survey data provider. "In 2007, 98.9 percent of Illinois organizations reported offering prescription coverage with their PPO plans. And, at least 95 percent of all companies provide prescription drug coverage along with their Indemnity, HMO and POS plans."
About the Survey
Compensation Data 2007 – Illinois contains data on 510 job titles ranging from entry-level to top executives. Information was collected on more than 255,000 employees across the state. The results provide a comprehensive summary of pay data, benefits information and pay practices with an effective date of March 1, 2007. Compdata Surveys has been providing accurate, reliable data at affordable prices to organizations from coast to coast since 1988. For further information about the compensation and benefits surveys, contact Lane Lyons at (800) 300-9570 or llyons[at]compdatasurveys.com.
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