The High Cost of Health Care: Why Some Pay $240 for a $9 Bottle of Pills

Abstract

Wal-Mart (and Target) each sell many generic drugs for bargain prices: as low as $4 per month. One of these is finasteride, used to treat androgenetic alopecia (male pattern hair loss), which can be obtained for only $9. However, patients in one major health care system do not have access to the Wal-Mart price, and may have to pay up to $240 dollars for an equivalent supply. This unexpected state of affairs is explained by delving into the complex interplay of drug industry tactics, state and federal laws, insurance company reimbursement policies, and the prescription policies of the health care system in question.

Keywords: health care, cost, prescription, drugs, finasteride, Wal-Mart, generics, alopecia, Proscar