Generics and biosimilar generate record $373 billion savings in US drug costs

The US health care system, including patients, employers, and taxpayers, saved $373 billion in 2021 by using Food and Drug Administration-approved generic and biosimilar drugs.

This is revealed by trade group the Association for Accessible Medicines (AAM), which released its 2022 U.S. Generic & Biosimilar Medicines Savings Report highlighting the value of generic and biosimilar medicines.

91% of the prescriptions filled in the USA in 2021 were filled with generic drugs, but those prescriptions accounted for only 18.2% of the country’s drug spend. In addition to the systemic savings that the generic drug industry generates, generic drugs create significant out-of-pocket savings for individual patients. 93% of generic drugs have co-pays under $20 (as compared to 59% of brand-name drugs), and their average co-pay is $6.16 compared to an average out-of-pocket cost of $56.12 for their brand counterparts.