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Joseph P. Newhouse
John D. MacArthur Professor of Health Policy and Management, HKS and HSPH; Professor of Health Care Policy, HMS
Academic Journal/Scholarly Articles
Fung, Vicki, Mary Price, Alisa B. Busch, Mary Beth Landrum, Bruce Fireman, Andrew A. Nierenberg, Joseph P. Newhouse, and John Hsu. "The Introduction of Generic Risperidone in Medicare Part D."
American Journal of Managed Care
22.1 (January 2016): 41-48.
The introduction of generic second-generation anti-psychotics (SGAs), starting with risperidone in July 2008, could reduce antipsychotic spending and cost-related use barriers. This study examines associations between generic risperidone use and spending and adherence after introduction among Medicare Advantage (MA) beneficiaries. Study Design: Historic cohort study. Methods: The study included MA beneficiaries receiving SGA treatment prior to July 2008. We examined antipsychotic spending using linear models, adherence (proportion of days covered >80%) using logistic models, and nonpersistence (time to first gap in antipsychotic use >30 days) in 2009 using Cox proportional hazard models, comparing beneficiaries with versus without generic use, adjusting for individual and plan characteristics. Results: Between July 2008 and December 2009, 22.8% of beneficiaries had >1 fill of generic risperidone: 73% of those previously using branded risperidone and 6.7% of those previously using other SGAs. Beneficiaries in private fee-for-service (FFS) versus health maintenance organization (HMO) plans had lower rates of generic use (hazard ratio [HR], 0.73 [95% Cl, 0.56-0.96]); however, cost-sharing levels were not associated with generic use. Compared with beneficiaries who continued using other SGAs, those who switched from other SGAs to generic risperidone in 2008 had lower out-of-pocket spending (-$214; 95% Cl, -$314 to -$115), higher adherence (odds ratio, 2.34; 95% Cl, 1.62-3.40) and lower rates of nonpersistence (HR, 0.56; 95% Cl, 0.46-0.69) in 2009. Conclusions: Generic use was concentrated among patients previously using branded risperidone. HMO plans appeared to be more effective at encouraging generic use than unmanaged private FFS plans; however, patient financial incentives had limited influence on switching. Additional opportunity remains to encourage greater generic SGA use, reduce spending, and potentially improve treatment adherence and outcomes.
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