Copay coupons like the ones Mylan offers for EpiPens allows drug companies to use consumers as tools to push insurance companies and therefore consumers to overpay for drugs. The copay coupon means an insured consumer often pays less "out of pocket" for the more expensive drug.
In the case of EpiPen which sell for $600, in some cases more, the consumer with an insurance plan that only requires copays for drugs or a consumer that has already met a deductible pays zero out of pocket if they have a copay coupon dumping a $500 bill on the insurance company. Instead of purchasing the $144 generic available at Walmart.
Walmart/GoodRx Adrenaclick $144.62
Lifehacker--Adrenaclick
Of course while consumers think they are tricking the insurance company, we are really tricking themselves since the insurance company just passes the extra cost back to us in higher premiums.
When Massachusetts dropped the ban on copay coupons they were warned that it would cost Massachusetts consumers $100s of millions or even billions in higher drug costs and insurance premiums. By the looks of how fast drug costs and insurance premiums are rising, those estimates may be low. Of course that only covers one small state. Imagine how much this costs when the entire country is included since Massachusetts is only 2% of the population.
http://www.prnewswire.com/news-releases/repealing-brand-drug-copay-coupons-ban-increases-costs-by-750-million-for-massachusetts-employers-unions-and-state-employee-health-programs-159043445.html
http://www.usatoday.com/story/news/politics/2016/06/08/drug-co-pay-assistance-programs-facing-increasing-state-federal-scrutiny/85547788/
I intend to create a list of drugs where the copay coupon has created severe artificial imbalances in the free market. Inflating prices while giving unfairly large market share to the most expensive options. If anyone knows of examples leave a comment.
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