Prescription Drug Rebates

Prescription drug spending is the fastest growing category of health care spending in Colorado. As costs continue to rise, consumers, policy makers and others are actively seeking solutions to address prescription drug prices. Prescription drug rebates have the potential to reduce prescription drug spending and reduce patient and employer premiums, yet some argue that rebates are driving up overall spending by incentivizing the use of higher cost drugs. This analysis shows drug rebates as a percentage of overall spending by payer type in Colorado to identify how rebates are impacting overall prescription drug spending over time.