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Share Price Information for Glaxosmithkline (GSK)

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Share Price: 1,604.50
Bid: 1,604.00
Ask: 1,604.50
Change: -5.50 (-0.34%)
Spread: 0.50 (0.031%)
Open: 1,611.50
High: 1,615.50
Low: 1,599.50
Prev. Close: 1,610.00
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Merck, Glaxo end co-pay assistance for Obamacare plans

Wed, 26th Mar 2014 22:26

March 26 (Reuters) - Merck and Co Inc andGlaxoSmithKline Plc are not reimbursing drug co-paymentsfor patients who purchase their health insurance through stateand federal exchanges set up under the Obamacare program.

The two drugmakers said their decision, first reported byBloomberg News, is based on uncertainty about whether insuranceprograms offered under the Affordable Care Act are governed byfederal laws that ban kickbacks to businesses.

To cap rising healthcare costs and give consumers moreincentive to reduce spending, insurers in recent years haveincreased the out-of-pocket costs patients are expected to payfor medications. At the same time, most drugmakers offer patientassistance programs, or coupons, to people who might otherwisenot be able to afford medications that have been prescribed bydoctors.

Merck, which makes drugs such as Januvia for diabetes, saidit plans to revisit its decision once more information isavailable about implementation of the law governing the federalhealth program.

Glaxo, maker of asthma medication Advair, said it is"committed to helping patients access our medications."

Amgen Inc, which makes biotech drugs includingarthritis medication Enbrel, said it continues to offercost-sharing assistance to eligible patients.

"Under the new health insurance exchanges, it is notuncommon for patients to face coinsurance of 40 percent or morefor their prescriptions," Amgen said in an emailed statement.

(Reporting by Deena Beasley; Editing by Leslie Adler)

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