Mark Cuban, the billionaire owner of the Dallas Mavericks and a familiar face from “Shark Tank,” has introduced an online pharmacy designed to reduce the price of prescription drugs.
In January, Cuban unveiled the Mark Cuban Cost Plus Drug Company. The pharmacy’s website, costplusdrugs.com, currently lists 150 generic prescription medications. Prices are set at the manufacturing cost plus a 15% markup and a $3 pharmacist fee.
A recent Harvard Medical School analysis pointed out the potential savings with Cuban’s model. The researchers estimated that Medicare could have saved $3.6 billion in 2020 alone if it had procured a range of generic drugs through the Mark Cuban Cost Plus Drug Company — a 37% reduction on the $9.6 billion spent on 77 different generics, assuming 90-day supplies were purchased.
To illustrate the pricing model, consider a 30-day supply of Colchicine, the generic equivalent of Colcrys used to treat gout. The retail tag for this medication is $176.10, while the production cost is only $4.80.
Under Cuban’s pharmacy, the price is the $4.80 production cost, plus $0.90 for the 15% markup, plus the $3 pharmacist fee. That brings the total for a 30-day supply to $8.70.
Some other widely used medications available through the online pharmacy include:
- Albendazole, used to treat parasitic infections, is priced at $33, versus a retail price of $437.68.
- Fluoxetine, the generic version of Prozac, is $3.90 compared with a retail price of $21.90.
- Imatinib, a treatment for leukemia and other cancers, costs $14.40 while its retail price is $2,502.60.
- Lisinopril, a blood pressure medication, is $3.60 versus a $24 retail price.
- Mesalamine, used for ulcerative colitis, costs $32.40 compared with a $940.20 retail tag.
Does the Pharmacy Take Insurance?
No. Cost Plus Drug Company does not work with insurance because it opts out of contracts with third-party pharmacy benefit managers that administer prescription benefits for insurers. As a result, customers must pay directly. The company notes, however, that its rates can be lower than a patient’s copay for the same drug at a traditional retail pharmacy.
If you have a health savings account (HSA) or a flexible spending account (FSA), those cards can be used to cover purchases.
Are Coupons Accepted?
No — the pharmacy does not accept coupons at this time.
What Are Delivery Charges?
Shipping is $5 and is fulfilled by digital healthcare provider Truepill.
How Do I Place an Order?
Visit the pharmacy’s website to check whether your medication is offered. Then contact your prescriber and request they send your prescription directly to the Mark Cuban Cost Plus Drug Company.
What If My Medicine Isn’t Listed?
The pharmacy currently carries 150 generic medications and plans to expand its catalog. If you’re on a brand-name drug, ask your doctor whether a generic alternative could be prescribed.
Other ways to lower prescription expenses include:
- Use Amazon services. If you’re an Amazon Prime member, you might save up to 80% on generics and 40% on brand-name drugs through amazon pharmacy when paying without insurance. Many insurance plans are accepted as well. Shipping is free (typically up to five days), or you can pay for faster delivery.
- Use a prescription discount card. Discount card programs let you search for pharmacies with the lowest price on a medication. After selecting a location, print the coupon or present the code in the mobile app to the pharmacist. If you have insurance, check whether the discount card or your insurance copay is cheaper — you can’t combine both for the same fill.
- Try other mail-order pharmacies. These services can reduce your medication costs, especially for drugs taken regularly. Because delivery times are often longer, order in advance and consider a 90-day supply to maximize savings. For a broader online pharmacy comparison, check available resources to weigh options.
Robin Hartley is a certified financial planner and a senior writer at Savinly. Send your money questions to [email protected] or join the Savinly Readers community to discuss.
