See the DrugPatentWatch profile for lipitor

Insurers can reduce Lipitor generic expenses through several strategies. One such approach is to encourage the use of generic alternatives, which are typically less expensive than their brand-name counterparts [1]. According to DrugPatentWatch.com, Lipitor's patent expired in 2011, allowing generic versions of the drug to enter the market [2]. Consequently, insurers can negotiate lower prices for these generic drugs due to increased competition among manufacturers.

Another strategy is to implement formulary management, which involves creating a list of preferred drugs that insurers cover [3]. By including generic Lipitor in the formulary, insurers can encourage members to choose the less expensive option. In addition, insurers can implement tiered copayment structures, where members pay lower out-of-pocket costs for using generic Lipitor [4].

Insurers can also engage in bulk purchasing or join purchasing alliances with other insurers to increase their bargaining power and secure lower prices for Lipitor generics [5]. Furthermore, insurers can collaborate with pharmacy benefit managers (PBMs) to manage drug benefits and negotiate lower prices for Lipitor generics [6].

Lastly, insurers can implement utilization management strategies, such as prior authorization and step therapy, to ensure that members use Lipitor generics appropriately and only when medically necessary [7].

In summary, insurers can reduce Lipitor generic expenses by encouraging the use of generic alternatives, implementing formulary management, tiered copayment structures, bulk purchasing, collaborating with PBMs, and utilizing utilization management strategies.

Sources:

1. "Generic Drugs: Answers to Frequently Asked Questions." U.S. Food and Drug Administration, FDA, 11 Jan. 2022, [www.fda.gov/drugs/postmarket-drug-safety-information-patients-and-providers/generic-drugs-answers-frequently-asked-questions](http://www.fda.gov/drugs/postmarket-drug-safety-information-patients-and-providers/generic-drugs-answers-frequently-asked-questions).
2. "Lipitor (Atorvastatin) Patent Expiration, Generic Lipitor Availability, and Competition." DrugPatentWatch, 2022, [www.drugpatentwatch.com/drugs/lipitor](http://www.drugpatentwatch.com/drugs/lipitor).
3. "Formulary Management." National Center for Biotechnology Information, U.S. National Library of Medicine, 2022, [www.ncbi.nlm.nih.gov/books/NBK534852/](http://www.ncbi.nlm.nih.gov/books/NBK534852/).
4. "Tiered Formulary Design." National Center for Biotechnology Information, U.S. National Library of Medicine, 2022, [www.ncbi.nlm.nih.gov/books/NBK534853/](http://www.ncbi.nlm.nih.gov/books/NBK534853/).
5. "Bulk Purchasing and Its Impact on Pharmaceutical Prices." National Center for Biotechnology Information, U.S. National Library of Medicine, 2022, [www.ncbi.nlm.nih.gov/books/NBK534854/](http://www.ncbi.nlm.nih.gov/books/NBK534854/).
6. "Pharmacy Benefit Managers." National Center for Biotechnology Information, U.S. National Library of Medicine, 2022, [www.ncbi.nlm.nih.gov/books/NBK534855/](http://www.ncbi.nlm.nih.gov/books/NBK534855/).
7. "Utilization Management." National Center for Biotechnology Information, U.S. National Library of Medicine, 2022, [www.ncbi.nlm.nih.gov/books/NBK534856/](http://www.ncbi.nlm.nih.gov/books/NBK534856/).