Skip to main content

Table 2 – Pan-Canadian Pharmacare Models and Associated Fiscal Projections

From: Prescription drug coverage in Canada: a review of the economic, policy and political considerations for universal pharmacare

 

Data Sources

Type of Coverage

Model Assumptions

Financing Source

Net Difference in Total System Expenditures

Morgan et al. (2015) [40]

-Canada Rx Atlas 2012/2013 for drug utilisation data [94]

-International drug pricing data from PMPRB

-Public Universal ‘First Dollar’

-Competitive pricing estimates as per singe-payer bulk-purchasing arrangement

-Federal/Provincial/Territorial (F/P/T) Government funding (tax based)

-Small patient co-payments based on tiered national formulary

-Annual expense reduction of $4.2 to $9.4 billion

Gagnon and Canadian Federation of Nurses Unions (2014) [43]a

-Canada Rx Atlas for drug utilisation data

-International drug pricing data from PMPRB

-Public Universal ‘First-Dollar’

-Competitive generic pricing estimates as per singe-payer bulk-purchasing arrangement

−10% increase in base-expenditures due to higher utilisation

-Improved evidence-based formulary management

−2% reduction in dispensing fees

-PMPRB pricing reform

-F/P/T Government (tax-based)

-Small patient co-payments based on tiered national formulary

-Annual expense reduction of

$2.7 to $11.5 billion

PDCI Market Access inc. (2016) [41]a

-Canadian Drug Claims Database

-International pricing data from PMPRB

-Varies ranging from fully public to fully private

-Numerous assumptions dependent upon model

-F/P/T Government funding (tax-based)

-Private plan premiums

-Patient co-payments

-$1.92 billion in annual expense reductions or up to $350 million in increased annual expenses

Canadian Centre for Policy Alternatives & Canadian Doctors for Medicare (2017) [38]a

Canadian Institute for Health Information (CIHI) and previous studies

-Public Universal ‘First-Dollar’

-Unclear

-Data derived from various sources for approximate calculation

-F/P/T Government funding (tax-based)

-approximately $30 billion in total savings (unspecified time period)

Parliamentary Budget Officer (2017) [18]

-CIHI datasets

-Quintile IMS datasets

-Public Universal ‘First-Dollar’

-Competitive generic pricing estimates as per singe-payer bulk-purchasing arrangement

-Quebec drug formulary

-F/P/T Government funding (tax-based)

-$5 co-payments (on patented products)

-annual expense reduction:

$4.2 billion

  1. aCommissioned report from external stakeholder