For AARP, today is a National Call To Action. For PhRMA, it’s a Another Call For Aggravation.

The consumer advocacy group is encouraging Americans to ring their Senators and give them a piece of their mind. The House passed a bill in January authorizing the government to negotiate lower prices from drugmakers, but AARP says drugmakes are “doing all they can to stop this legislation” from making it through the Senate.

“Now is the time to tell your Senators that you expect them to immediately pass legislation giving Medicare the right to negotiate for lower prescription drug prices. Nearly 9 in 10 voting-age Americans favor giving the Secretary of Health and Human Services this authority,” says the group, which urges calls to its toll free number, 1-888-450-3254, or e-mails to Senators.

Now, consumer groups stage such actions all the time, but in the pharmaceutical world, one smells success when PhRMA, the industry trade group, reacts with scorn in its own press release. In a statement, PhRMA mouthpiece Ken Johnson calls AARP’s action a “misguided effort” that “threatens to do more good than harm.”

He cites estimates showing seniors save, thanks to Medicare Part D, an average of $1,200 a year; the Congressional Budget Office estimates the plan will cost $265 million over 10 years instead of much more; and that Part D private insurers do negotiate with PBMs. He also notes the CBO reports authorized haggling would have a “negligible effect on federal spending.’’

Meanwhile, yet another group, the Campaing for America’s Future, is releasing a report contending government negotiations to lower Medicare Part D prices would save patients and taxpayers $30 billion a year. The group says Medicare should mimic the Veterans Administration’s approach to bulk purchasing.

Part of the problem is that Medicare Part D is so complicated that its hard to explain to anyone but a managed care expert. Maybe the Veterans Administration model, with its tight formularies, has its limits. Then again, maybe it could be iimproved upon. In any event, the issue continues to deserve scrutiny and, perhaps, some adjustment.

Hello, Senator? About my prescription….

Further reading:
The AARP pitch;
The PhRMA scorn;
Story from Bloomberg News.[tags]AARP, PhRMA[/tags]