Prescription medications have long been a significant financial burden for many households, with nearly one in four Americans struggling to manage out-of-pocket costs. As the number of prescriptions a person needs grows, affording them can become increasingly difficult.
Despite these challenges, technology is helping many people lower the cost of their prescription medication. Matthew Herfield, co-founder and CEO of BuzzRx, a prescription savings service, recently shared a few thoughts about some of the ways technology is helping individuals and households manage their prescription costs.
1. Price Transparency Platforms
The first technology Herfield highlights is price transparency platforms, like BuzzRx, calling them, “simple yet highly effective tools that can help people save on their prescriptions.”
“Using our website or app, users can look up their specific prescription and get instant results showing what the discounted price would be for their medication at pharmacies in their area. With our discount program, costs can actually vary quite a bit between pharmacies because of how prices are negotiated, so using this tool is key to maximizing savings.”
Herfield is proud of the underlying technology that allows users to get instant transparent pricing as easily as conducting a Google search. Fast and reliable answers help patients make better financial decisions.
2. Accessible Formularies
While his own company’s offering serves as an alternative to using insurance, Herfield also notes that many insurers are using basic technology to make their formularies more accessible and understandable to insurance members.
“For households with insurance, understanding which prescriptions are actually covered by their plan, as well as what their out-of-pocket responsibility is for different types of medication, can be confusing,” Herfield explains.
“Thanks to more insurers digitizing their information and making it readily available and searchable online, patients can more easily determine if their preferred medication is covered or what generic alternatives are available through their insurance, simply by looking at information provided through their insurance accounts.”
Access to such information can be especially valuable during physician appointments, helping empower patients when they talk to their doctor about prescription medication options.
3. Medication Monitoring
Several solutions are also being developed to ensure better prescription drug adherence. For example, proposed tech solutions include smart pill bottles and mobile apps with digital reminders that help patients adhere to their prescription guidelines and receive proper treatment.
As Herfield explains, such initiatives are critical in lowering long-term healthcare costs.
“Quite often, we see people take drastic measures to address prescription medication costs, like cutting their pills in half or skipping doses. In the long term, however, individuals who adhere to their prescription plans are going to have better cost savings and a lower likelihood of emergency care and hospital readmissions, particularly in regard to chronic diseases. Tech that improves prescription adherence helps ensure better health outcomes that will lower future costs.”
4. Virtual Health Visits
Telemedicine and virtual healthcare visits are another noteworthy trend fueled by technology that can help lower patient costs associated with prescription medication. In part accelerated by the COVID-19 pandemic, the number of global users of telemedicine grew from 57 million in 2019 to 116 million in 2024.
In terms of lowering costs, virtual healthcare visits can make obtaining prescriptions more affordable by making appointments more accessible. For households that might have issues getting transportation to an appointment, this can lower transportation costs that would otherwise be incurred to receive medical care.
In addition, many insurers offer free virtual visits when patients would be responsible for a copay for an in-office visit. While this doesn’t directly lower prescription costs, this can lower other expenses associated with obtaining a prescription.
5. AI and Personalized Care Plans
Finally, growing applications for AI and machine learning in healthcare are also poised to help lower prescription expenses by ensuring that patients receive care that is better tailored to their individual needs.
“When AI provides more specific and actionable information for each individual patient, doctors will be better able to develop a care plan that is best tailored to their needs,” Herfield says.
“This could help doctors avoid writing unnecessary prescriptions, avoid overmedicating patients, identify potential negative side effects of multiple prescriptions or even identify the best generic alternatives. By helping doctors make more informed prescription decisions, these tools can ensure that patients are only paying for prescriptions they actually need while getting higher-quality care that lowers their long-term costs.”
Though not yet fully adopted across the healthcare system, a growing number of AI resources are making this technology more widespread than ever.
Lowering Prescription Costs With Today’s Resources
As these examples highlight, there are several ways that technology is helping to lower the cost of prescription medications for individuals and families. Not all of these technologies need to be the most cutting-edge to provide meaningful solutions, either.
As more individuals and healthcare providers become aware of the tools and resources that are available to help them find lower-cost solutions, households can take control of their prescription drug spending and improve their financial health alongside their physical or mental well-being.
