Canada Making Progress in Prescription Drug Coverage


Ottawa, July 13, 2022 (GLOBE NEWSWIRE) -- Canada has seen a significant improvement in the number of Canadians eligible for some form of prescription drug coverage, according to new research from The Conference Board of Canada. The gap in coverage was reduced by almost 50 per cent between 2016 and 2020. This research is an update to the original analysis that was released in 2017.

“We’re thrilled to see significant progress in the number of Canadians that have improved access to prescription drug coverage,” said Isabelle Gagnon-Arpin, Principal Research Associate at The Conference Board of Canada. “While this progress should be acknowledged, it’s important to recognize that not everyone with drug coverage can access the medication they need. There are gaps in access that impact individuals based on what province they live in and whether their plan is public or private.”

The Conference Board of Canada estimates that 97.2 per cent of Canadians are eligible for some form of prescription drug coverage, either through public prescription drug plans, private group plans or private individual plans. The increase in coverage has largely been driven by the introduction of OHIP+ in Ontario. This boost in coverage helped close the gap in prescription drug coverage in Ontario, and by extension, nationally. The program was introduced in 2018 and provides prescription drug coverage to 1.3 million more children and youth under 25 years of age, compared with 2016, shifting the age distribution of uninsured Canadians to the 25–64 age group.

Ontario and Newfoundland are the only contributors to the current national gap in prescription drug coverage. Of the 1.1 million uninsured Canadians, 94.7 per cent reside in Ontario, while the remaining 5.3 per cent are in Newfoundland and Labrador. After accounting for private coverage, 3.8 million Canadians are not enrolled in a public or private plan for which they’re eligible. This represents 10.1 per cent of the population, down slightly from 11.3 per cent in 2016. Since then, non-enrolment has also decreased in every province except British Columbia and New Brunswick. There are a multitude of factors that can drive non-enrolment in a public plan, including lack of awareness, lack of need, unaffordable out-of-pocket costs and existing coverage under a private plan. 

Canadians continue to face barriers when trying to access the medication they need, even when covered under a plan. Underinsurance issues can impact which drugs are covered and how much the individual has to pay out of pocket. Generally, these issues are more often faced by those insured under public plans compared to private plans. Between 2018 and 2021, private drug plans reimbursed a greater number of drug products in each province compared to public plans. New prescription drugs also take longer to access via public plans compared to private ones. Canada ranks 18th out of 20 of our Organization for Economic Cooperation and Development (OECD) peer countries when comparing the time between approval and public reimbursement.

Additionally, out-of-pocket costs are another potential barrier to prescription drug access. These costs can include premiums, annual fees, deductibles, and/or co-payments, and are a function of plan design. Therefore, usually not everyone covered under a public plan pays the same amount to access prescription medications. This can impact treatment options and the realization of desired health and system-level outcomes

The full research is available at the link here. Media should contact media@conferenceboard.ca for access.

About the Conference Board of Canada:

The Conference Board of Canada is the country’s leading independent research organization. Our mission is to empower and inspire leaders to build a stronger future for all Canadians through our trusted research and unparalleled connections. Follow The Conference Board of Canada on Twitter @ConfBoardofCda.

 

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