Fair Drug Prices

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The Process

Prescriptions:
Are issued by approved health care providers for drugs. These drugs are either brand name or generic drugs. Brand name drugs are the original patented versions that are first approved to market. After the brand name drug's patent has expired, generic drugs may enter the market. These products have the same active ingredients as brand name drugs but are priced lower than the original. 

Patients:
Pay for their drugs in one of three ways: private insurers, public drug programs, or cash payment.

Pharmacies:
Dispense drugs to patients according to the prescription written by approved health care providers, using drugs they have obtained either directly from the manufacturer or from wholesalers. Pharmacies can charge a mark-up fee on the medicines they sell, and in addition, they receive a dispensing fee. For those drugs paid for under the public drug plan, the dispensing fee and mark up charge is paid by the provincial government or the plan user. Pharmacies also receive payments from manufacturers.

Professional Allowances/Rebates:
Are payments made by manufacturers to pharmacies in exchange for stocking their products.