FAll 2024

Research Poster

Physician Dispensing: Trends, Opportunities, and Challenges in the U.S. Market

Physician dispensing is the practice where doctors provide medications directly to patients during appointments, bypassing pharmacies for fulfillment. The main benefits of this practice include improved medication adherence, as patients receive their prescriptions immediately, increased convenience by eliminating the need for pharmacy visits, and additional revenue for medical practices.

However, physician dispensing is not without criticisms. A key concern is the higher drug costs, as bypassing pharmacies leads to a lack of cost controls, resulting in substantially higher prices. Patient safety is another issue, as physicians may not provide the same level of medication verification and patient education that pharmacists typically offer. Additionally, there is the risk of conflicts of interest, where financial incentives may influence a doctor’s prescribing decisions.

The market also faces regulatory challenges, with varying state requirements for licensure, labeling, and drug storage. Insurance reimbursement can be difficult, as some insurers prefer pharmacy- filled prescriptions over those dispensed by physicians.

HITLAB conducted research on the physician dispensing landscape, covering market analysis, competitor insights, and regulatory considerations. This poster presents the key insights from the research, highlighting both unmet opportunities and risks.