Pfizer Takes Part In “Together Rx Access”; Merck Plans Separate Card

Pfizer is joining the "Together Rx" group as it rolls out a discount program for the non-Medicare population.

Pfizer is one of 10 brand name drug companies behind "Together Rx Access," a new discount card program that will provide savings on certain prescription drugs to low-income Americans who lack health insurance.

The program is designed to serve a separate population from the existing "Together Rx" card, which offers savings to low-income Medicare beneficiaries and will be discontinued once the Medicare prescription drug benefit begins in 2006 (¹ (Also see "“Together Rx” Card Unites 7 Firms; Merck, Pharmacia, Wyeth Stay Apart" - Pink Sheet, 15 Apr, 2002.), p. 6).

All seven firms behind Together Rx are also part of the new Access program: Abbott, AstraZeneca, Bristol-Myers Squibb, GlaxoSmithKline, Johnson & Johnson, Novartis and Sanofi-Aventis. Takeda and the Takeda/Abbott joint venture TAP have also signed on for the new program.

Although the new program draws on a larger bloc of manufacturers, it still falls short of industry-wide participation.

Merck, the largest pharma company not in the coalition, said it is preparing to unveil an independent discount card for all uninsured Americans, regardless of income, in lieu of joining Together Rx Access.

Merck cited potential antitrust concerns as one reason for not joining the coalition. The company noted that Together Rx is facing price-fixing allegations in Boston federal court (² (Also see "Together Rx Cited In AWP Price-Fixing Suit; Amended Complaint Drops Merck" - Pink Sheet, 18 Aug, 2003.), p. 11). Merck said it does not doubt the legitimacy of the program and would reconsider participation if the antitrust case is resolved.

Lilly and Wyeth are two other big pharma companies not participating. Both firms said they are committed to their existing patient assistance programs for the low-income uninsured, which provide free drugs through physician offices rather than pharmacies.

In addition to bringing in more manufacturers, the Together Rx Access card will have a new administrator. Newtown, Pa.-based ICT Group will provide customer service, data capture & management, claims processing, web & e-mail management and enrollment & fulfillment services.

ICT will work in partnership with Argus Health Systems for claims processing support and with Rapid Solutions Group for fulfillment services.

Argus was Pfizer's administrator for the company's "ShareCard" senior drug discount program.

The original Together Rx card is administered by McKesson, which narrowly lost its bid to run the new program as well, Together Rx Access said.

The card will be available to legal U.S. residents under age 65 who are not otherwise eligible for Medicare, provided they have no public or private prescription drug coverage and fall below 300% of the poverty line.

The income cutoff falls at $30,000 for an individual and $40,000 for a couple. The eligibility limit shifts to $50,000 for a family of three, and $60,000 for a family of four.

The new card will be available to a much larger population than the original Together Rx program: 36 mil. Americans, or 80% of the total uninsured population. In comparison, the original Together Rx card has been issued to 1.5 mil. participants out of an eligible population estimated at 8 mil.-11 mil.

The coalition unveiled the card program in full-page newspaper ads around the country Jan. 11; future publicity efforts will include television advertisements.

According to the Together Rx Access group, cardholders will be able to obtain savings of 25%-40% on 275 brand name drugs from the participating companies, in addition to a range of generic products.

As under the original Together Rx card, each manufacturer will control which of its products will be available through the card and the extent of discounts. The program requires at least 15% off of WAC.

The group said a majority of pharmacies nationwide will accept the card by mid-February; there will not be a mail order option.

Each manufacturer will continue to offer its own patient assistance program, though enrollees in PAPs - which frequently involve free or nearly free drugs for defined populations - will not be able to combine those benefits with Together Rx Access. Card applicants will be automatically notified if they are eligible for any PAPs.