What the Health Insurance Term ‘Clawback’ Means For You [SotA]
Who's ready to get angry?!
Prescription drug prices is one of those issues that most politicians will yap about, saying they have a solution to get them lowered, and then we see nothing. Paying (often ridiculous prices) for health insurance is supposed to make things...easier? Simpler? Naw. In case of catastrophic health event, hope that your insurance doesn't cut you off before you get better. Yay, insurance!
One of supposed pluses of carrying health insurance (way to coin it "carrying health insurance," like it's some kind of burden we take with us everywhere...) is that you pay a flat fee (copay) for your medications, thus saving you money. Sounds great, right? Right.
Until you realize that your copay is more than the actual cost of your medication.
Are you FRIGGIN' KIDDING ME?!? (Getty Images)
The key term here is, "clawback." Clawback is charging a copay that's higher than the cost of the medication, and it happens for 28 percent of generic medications (6% for name-brand medications).
Just the thought of that could make your blood pressure skyrocket, but be careful. High blood pressure medication can be expensive!
To avoid getting ripped off, ask your pharmacist which way is cheaper: paying the insurance copay or paying directly for your prescriptions.
BONUS: some insurers ban pharmacists from telling you if paying cash saves you money.
Sounds like a swindle.