The National Health Insurance Workers' Union said, "Illegal rebates for drugs deteriorate the health insurance finances," adding, "We need to promote generic drug prescriptions." This means that doctors prescribe medications using the generic name instead of the brand name. When a doctor prescribes acetaminophen (the ingredient) instead of Tylenol, the pharmacist selects one of the medications with that ingredient to provide to the patient.
The union criticized the recent illegal drug rebate case in a statement released on the 24th under the names of 14,000 members. The union noted, "Illegal rebates inflate the expense of medications, and the costs are transferred to the public, contributing to leaks in the health insurance finances," adding, "Unnecessary medications are excessively prescribed, adversely affecting the health and lives of the public."
To eradicate drug rebates, the union explains the need for improvements to the drug pricing system and the promotion of generic drug prescriptions. The union stated, "We need to lower prices through competition among suppliers and promote generic drug prescriptions like in advanced countries," urging, "The government and the National Assembly must improve laws and systems to eradicate drug rebates."
Earlier, the Food and Drug Crime Investigation Department of the Seoul Western District Prosecutors' Office (acting Director General Jo Man-rae) filed charges without detention against eight individuals, including the representative of a drug wholesale company, Mr. A, and the chairman of a university hospital, for embezzlement, breach of medical law, and pharmacy law violations on the 8th. Mr. A is accused of providing 5 billion won in rebates to hospital chairpersons while supplying drugs to three general hospitals from 2019 to 2024.