Drug Retail Prices More Than Double in 7 Years, AARP Says

What's Hot


2 Types of Black Marks Might Vanish From Your Credit File SoonBorrow

6 Ways the Obamacare Overhaul Might Impact Your WalletInsurance

7 Dumb and Costly Moves Homebuyers MakeBorrow

This Free Software Brings Old Laptops Back to LifeMore

Obamacare Replacement Plan Gets ‘F’ Rating from Consumer ReportsFamily

Beware These 12 Common Money MistakesCredit & Debt

21 Restaurants Offering Free Food Right NowSaving Money

17 Ways to Have More Fun for Less MoneySave

House Hunters: Beware of These 6 Mortgage MistakesBorrow

30 Household Uses for Baby OilSave

25 Ways to Spend Less on FoodMore

Nearly Half of Heart-Related Deaths Linked to These 10 Foods and IngredientsFamily

5 Surprising Benefits of Exercising Outdoors in WinterFamily

10 Ways to Save When You’re Making Minimum WageSave

Boost Your Credit Score Fast With These 7 MovesCredit & Debt

7 Painless Ways to Pay Off Your Mortgage Years EarlierBorrow

The Most Sinful City in the U.S. Is … (Hint: It’s Not Vegas)Family

The True Cost of Bad CreditCredit & Debt

10 Companies With the Best 401(k) PlansGrow

This Scam Now Tops ID Theft as the No. 2 Consumer ComplaintFamily

6 Stores With Awesome Reward ProgramsFamily

6 Ways to Save More at Lowe’s and The Home DepotSave

6 Healthful Treats for Your DogFamily

New Study Ranks the Best States in the U.S.Family

Thousands of Millionaires Moving to 1 Country — and Leaving AnotherGrow

Strapped for College Costs? How to Get the Most From FAFSABorrow

6 Overlooked Ways to Save at Chick-fil-AFamily

Ask Stacy: What’s the Fastest Way to Pay Off My Mortgage?Borrow

Where to Sell Your Stuff for Top DollarAround The House

8 Ways to Get a Good Price on a Shiny New AutoCars

Ask Stacy: How Do I Start Over?Credit & Debt

Secret Cell Plans: Savings Verizon, AT&T, T-Mobile and Sprint Don’t Want You to Know AboutFamily

30 Awesome Things to Do in RetirementCollege

14 Super Smart Ways to Save on TravelSave

The Rich Prefer Modest Cars — Should You Join Them?Cars

You’ll Soon Pay More to Shop at CostcoSave

10 Ways to Save When Your Teen Starts DrivingFamily

The cost of prescription drugs has skyrocketed since 2006, according to a new study. Find out why.

Retail drug prices, on average, more than doubled over a seven-year period, according to data from AARP.

The nonprofit’s latest Rx Price Watch report, which tracks prescription drugs widely used by older Americans, found that the retail cost of prescription drug therapy reached an average of $11,341 per drug, per year in 2013.

That’s up from an average of $5,571 in 2006, when Medicare implemented its prescription drug benefit, Medicare Part D.

Leigh Purvis, director of health services research in AARP’s Public Policy Institute, tells the Associated Press:

“Our concern with the prices we’re seeing is that the overall trend is really accelerating.”

The 2013 average cost of $11,341 is also unaffordable for retirees with low incomes and limited savings, Purvis says.

According to AARP, which advocates for senior citizens, the 2013 average cost is equivalent to:

  • Almost three-quarters of the average Social Security retirement benefit ($15,526).
  • Almost half of the median income for Medicare beneficiaries ($23,500).
  • More than one-fifth of the median U.S. household income ($52,250).

The latest Rx Price Watch report also shows that drug price increases are outpacing inflation.

In 2013, for example, the average annual increase in retail prices for a combined set of 622 widely used prescription drugs was 9.4 percent. The general inflation rate, however, was 1.5 percent over the same period.

AARP attributes its findings on the much higher average cost “entirely” to price increases for brand-name and specialty drugs, which the nonprofit reports “more than offset often substantial price decreases among generic drugs.”

Of course, as is the case for most types of purchases, consumers are not obligated to buy brand-name drugs and can save a lot of money by buying generics.

To learn more about how to lower your drug costs — whether you use brand-name or generic drugs — start with:

What’s your take on AARP’s findings? Let us know what you think by commenting below or on our Facebook page.

Stacy Johnson

It's not the usual blah, blah, blah

I know... every site you visit wants you to subscribe to their newsletter. But our news and advice is actually worth reading! For 25 years, I've been making people richer without making their eyes glaze over. You'll be glad you did. I guarantee it!

💰🗣📰

Read Next: 7 Ways a Fitbit Can Make or Save You Money

Check Out Our Hottest Deals!

We're always adding new deals and coupons that'll save you big bucks. See the deals to the right and hundreds more in our Deals section.

Click here to explore 2,056 more deals!