Billionaire investor and Dallas Mavericks owner Mark Cuban enters the pharmaceutical arena in a big way with the launch of the Mark Cuban Cost Plus Drugs Company (MCCPDC), a low-cost online pharmacy for generic drugs.
Who and Why
MCCPDC CEO Alex Oshmyansky first came to Cuban with the idea for a low-cost generic drug company.
Motivated in part by Turing Pharmaceuticals’ noteworthy price hike of the lifesaving drug Daraprim from $13.50 to $750 per tablet, Cuban and Oshmyansky were all in to prove ‘capitalism could be compassionate.’
The markup on generic drugs, according to MCCPDC, averages “at least” 100%. The Wall Street Journal, however, reports in some cases it exceeds 1,000%. A September 2021 Gallup poll found that 18 million Americans reported being unable to afford at least one doctor-prescribed medication in the last three months.
Cuban’s goal? Affordable prices and ‘radical transparency’ surrounding price negotiations with drug companies.
What
As both an online pharmacy and registered pharmaceutical wholesaler, MCCDPC is set to slash generic drug costs, promising lower prices than those people would typically pay at a pharmacy. Improving public health is not only their mission but their priority.
How
No middlemen. No price games. MCCDPC purchases drugs direct from manufacturers to lower the price of more than 100 medications. And they only charge the manufacturer’s prices plus a flat 15% markup and $3 pharmacist fee.
It’s simple. Consumers find their medication in MCCDPC’s online store, sign up for an account and reach out to their provider for their prescription. Medications are then delivered straight to their door.
While MCCDPC doesn’t accept insurance at this time, they claim that in most cases even without insurance their prices are less than what consumers would pay using their insurance at a typical pharmacy. Take the leukemia drug, imatinib, for example. It’s priced at $47 a month on MCCPDC compared to the $9,657 retail price.
Consumers CAN, however, use their FSA or HSA to pay for their prescription medications.
Ask Simpara
If your members need assistance lowering their Rx costs, we can help! Contact ashley@simparahr.com to learn more about MCCDPC and with questions about opportunities to cut drug costs.
