Drug shortages across the U.S. are hitting record rates and are causing a variety of issues when it comes to patient care. Among the concerns, some “gray market” vendors may be charging unfair prices and in some cases, may be selling drugs that are ineffective, unsafe or both.
New information released by the Premier healthcare alliance indicates just how bad price gouging and possible safety issues have become. The Premier healthcare alliance analysis of unsolicited sales offers made by gray market vendors to hospitals shows that the average mark-up for shortage drugs was 650 percent. The highest single recorded mark-up offered was 4,533 percent for a drug used to treat high blood pressure. Normally priced at $25.90, the offered price in this case was $1,200.
Premier collected 1,745 unsolicited gray market sales offers in April-May 2011. Of the offers, the 636 that contained both price and proper drug identification information were analyzed. The offers covered 416 separate drugs with the highest mark-ups seen for medications needed to treat critically ill patients in the following care categories: critical care sedation and surgery; emergency care; chemotherapy; and fighting infectious disease. It is extremely troubling to us that these vendors would put profits over the well-being of patients.
Hospitals need to purchase medication from known suppliers, but given the shortages, there are certain situations in which this is not possible. Premier has developed a series of actions that should be taken to ensure the purchase of safe, reliable drug products. You can view those recommendations by clicking here for more information. The recommendations include confirming with your State Board of Pharmacy or Department of Health that the seller is appropriately licensed and not subject to any current investigation. Among other things, you should ask non-authorized sellers to provide a drug pedigree that records the products' chain of custody.
Because of the profits that can be made off shortage products, as well as the ease with which product origins can be obscured, gray market vendors may turn to questionable sources for scarce supply. Following safety guidelines can help protect your hospital and patients from unintended harm.
Kester Freeman blogs regularly at Action for Better Healthcare.