A study funded by CHPA, WSMI’s member association in the US, and conducted by Booz & Co confirmed that, overall, the availability of OTC medicines creates significant cost-savings value for the U.S. healthcare system and provides value through expanded access to treatment for the most frequent and common illnesses. Entitled “The Value of OTC Medicine to the United States,” this study shows how the entire US healthcare system benefits from OTC medicines. Booz & Co. analysts found that:
- For every $1 spent on OTC medicines, the U.S. healthcare system saves $6 to $7 in avoided costs.
- Annually, self-treatment using OTC medicines provides $102 billion in value to the U.S. healthcare system. This includes $77 billion in clinical cost savings (e.g., avoided doctor’s office visits and diagnostic testing); and $25 billion in drug cost savings (e.g., lower-priced OTCs versus higher-priced prescription medicines) .
- Employee-sponsored health plans, Medicare, Medicaid, and the uninsured all capture multi-billion dollar savings as a result of OTC utilization.
- OTC medicines provide relief for an estimated 60 million people who would otherwise not seek treatment if those medicines were not available without a prescription.
To read the white paper which presents the findings and conclusions of the study in more details, click here.