Changes to Provincial Pharmacy Programs Become Effective in July

* Health and Social Services [to Nov 2005]
Health and Social Services Minister Jamie Ballem advised today that client co-pays for seniors and diabetes drugs will increase July 1 to address significant increases in costs and demand for these programs.

Minister Ballem advised that the cost of provincial drug programs doubled in the past six years, and the proposed changes more accurately reflect the cost of delivering the service. "Such adjustments are unavoidable if we want to have a sustainable quality service," the minister said. "While many enhancements have been made to programs, this is just the second increase for clients in more than eight years."

The Seniors Drug Cost Assistance Plan (DCAP) provides assistance with the cost of prescription medications to all Island seniors aged 65 and older. The co-payment for seniors medications will increase in July from $8 to $10. During the past five years, annual provincial government expenditures on seniors drugs increased 78 percent, from $3.6 million in 1996 to $6.4 million in 2001.

The Diabetes Control Program provides assistance with the cost of insulin, oral diabetes medications and some testing materials to all Islanders who have diabetes. The co-payment for insulin will increase from $5 to $8, and a co-payment of $8 will be introduced for oral diabetes drugs to partially cover significant increases in costs. Diabetes program costs increased 59 percent last year from $560,000 to $892,000 due mainly to increased utilization.

Prince Edward Island spends more of its health budget on drugs than any other province, 17.3 percent compared to the Canadian average of 14.8 percent. PEI per capita spending on drugs is $450, second only to Ontario at $473.

Public sector drug expenditures in Canada are expected to grow by more than 13 percent this year.

Media Contact: Jean Doherty