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CHPA
optimistic about OTC future - News - Consumer
Healthcare Products Association
AVENTURA, Fla. -- Some 350 executives converged
last month in the Tumberry Isle Resort & Club
here for the Consumer Healthcare Products Association's
Annual Executive Conference. While it rained the
Saturday morning of Prevention magazine's scheduled
fun run, that didn't dampen the spirits of the many
long-distance runners operating in the consumer
health care market. |
The forecast for over-the-counter remedies is sunny,
both immediate and long term.Uwe Reinhardt, professor
of economics at Princeton University, told a packed
room on the conference's last day that no matter
how the health care crisis plays out for pharmaceutical
p layers, the business of OTC should benefit. "If
the insurance carriers knew what they were doing,"
the economist said, "they would actually cover
most [OTCs] by having some reimbursement, rather
than only prescription drugs.
" If health care spending this country continues
to trend as it has, the United States will spend
the equivalent of 17 percent of its gross domestic
product (some $1.4 trillion) on health care.Though
the increase in health care spending will result
mostly from hospital stays, there still will be
pressure to reduce prescription drug costs, especially
from managed care. And that pressure will result
in higher OTC utilization--whether it's consumers
driven to OTCs by higher co-pays or whether it's
consumers attracted to OTCs because they are covered
by insurance.
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