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Impact of the outpatient prescription incentive program on reduction of pharmaceutical costs of clinics in South Korea

 Kwon, Seong Hee  ;  Han, Kyu-Tae  ;  Park, Sohee  ;  Moon, Ki Tae  ;  Park, Eun-Cheol 
 Korean Journal of Health Policy and Administration, Vol.27(3) : 247-255, 2017 
Journal Title
Korean Journal of Health Policy and Administration(보건행정학회지)
Issue Date
Pharmaceutical expenditures ; Financial incentives ; Health services research ; Separation of prescribing and dispensing
Background: South Korea has experienced problems with excessive pharmaceutical expenditures. In 2010, the South Korean government introduced an outpatient prescription incentive program to effectively manage pharmaceutical expenditures. Therefore, we examined the relationship between the outpatient prescription incentive program and pharmaceutical expenditures. Methods: We used data from the Korean National Health Insurance claims database, which included medical claims filed for 22,732 clinics from 2011-2014 to evaluate associated pharmaceutical expenditures. We performed multiple regression analysis and Poisson regression analysis using generalized estimating equation models to examine the associations between outpatient prescription incentives and the outcome variables. Results: The data used in this study consisted of 123,392 cases from 22,372 clinics (average 5.4 periods follow-up). Clinics that had received outpatient prescription incentives in the last period had better cost saving and Outpatient Prescribing Costliness Index (OPCI) (received: proportion of cost saving, ${\beta}=6.8179$ 수식 이미지; p-value < 0.0001; OPCI, ${\beta}=-0.0227$ 수식 이미지; p-value < 0.0001; reference = non-received). Moreover, these clinics had higher risk in the provision of outpatient prescription incentive (relative risk, 2.772; 95% confidence interval, 2.720 to 2.824). The associations were higher in clinics that had separate prescribing and dispensing programs, or had professional staff. Conclusion: The introduction of an outpatient prescription incentive program for clinics effectively managed problems with rapid increases of pharmaceutical expenditures in South Korea. However, the pharmaceutical expenditures still increased in spite of the positive impact of the outpatient prescription incentive program. Therefore, healthcare professionals and health policy makers should develop more effective alternatives (i.e., for clinics without separate prescribing and dispensing programs) based on our results.
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Appears in Collections:
1. College of Medicine (의과대학) > Dept. of Preventive Medicine (예방의학교실) > 1. Journal Papers
4. Graduate School of Public Health (보건대학원) > Graduate School of Public Health (보건대학원) > 1. Journal Papers
Yonsei Authors
Park, So Hee(박소희) ORCID logo https://orcid.org/0000-0001-8513-5163
Park, Eun-Cheol(박은철) ORCID logo https://orcid.org/0000-0002-2306-5398
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