New provision would help lower cost of contraceptives for college students
March 20th, 2009 by Jennifer Walker-Journey
A new provision in the proposed budget signed by President Barack Obama last week could help significantly reduce the cost of birth control for young women by allowing pharmaceutical companies to reinstate discounts on contraceptives that they had previously offered to family planning clinics.
Those discounts had been slashed because of a 2005 federal law designed to save taxpayers money on Medicaid reimbursements for drugs. An unfortunate side effect of that law financially dissuaded pharmaceutical companies from selling their products to these pharmacies at reduced prices. So women began to see contraceptive pills and product costs rise from $5 to $10 a month to $30 to $50 a month.
These findings are encouraging for college women in particular. Since the 2005, college either passed the price increase to students or stopped selling contraceptives all together. Some were concerned students would turn to less preferred contraceptives or use nothing at all.
Last month we told you that Texas Christian University (TCU) had forged a deal with drug companies so that it could start offering discounted contraceptives to its students. More colleges are expected to follow suit now and swing deals with pharmaceutical companies. But buyer beware – clinics are still offering the Ortho Evra birth control patch, a popular choice for younger women who don’t want the hassle of a once-a-day pill. The patch, made by Johnson & Johnson, has caused serious health problems and even death in young women – a trend that has caused some consumer groups to petition the FDA to stop the sale of the birth control patch. Johnson & Johnson no longer markets the patch, however it is still widely available and has yet to be pulled from the market.
Source: Associated Press