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Switzerland: Pharmaceuticals

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Expenditure On Retail Pharmaceuticals Per Capita, 2017 (USD$ PPP)
Prescribed Medicines: $705
Over-The-Counter Medicines: $200
Medical Non-Durable: $58
Total: $963

Source: OECD (2019), Health at a Glance 2019: OECD Indicators, OECD Publishing, Paris, https://doi.org/10.1787/4dd50c09-en.
https://www.oecd.org/health/health-systems/health-at-a-glance-19991312.htm


Expenditure On Retail Pharmaceuticals By Type Of Financing, 2017 (%)
Government/Compulsory Plans: 55%
Voluntary Health Insurance Plans: 4%
Out-Of-Pocket: 41%
Other: 0%

Source: OECD (2019), Health at a Glance 2019: OECD Indicators, OECD Publishing, Paris, https://doi.org/10.1787/4dd50c09-en.
https://www.oecd.org/health/health-systems/health-at-a-glance-19991312.htm


“Physicians dispense pharmaceuticals at retail prices, which include a profit margin. In pharmacies, retail prices are reduced by 2.5% but pharmacists can charge extra for certain services, such as medication checks and compliance assistance (Vaucher & Rohrer, 2015). Average turnover of physicians with self-dispensation was about Sw.fr.200 000 in 2013 (Interpharma, 2014) and the sale of pharmaceuticals can contribute considerably to physicians’ incomes. The inherent perverse incentive for doctors to be able to profit from prescriptions issued is regularly discussed and criticized (Hänggeli et al., 2010; OECD/WHO, 2011). However, self-dispensation is appreciated by patients and is regularly confirmed in legislative processes in the respective cantons.

“A limited range of medicinal products can be sold by druggists and some can be sold without limitations, for example, in supermarkets (see section 2.8.4). Mail-order pharmacies are becoming increasingly important. All medicinal products obtained through mail order must be prescribed by a doctor (regardless of their status as prescription or non-prescription drugs) in order to secure professional advice prior to consumption.”

Source: De Pietro C, Camenzind P, Sturny I, Crivelli L, Edwards-Garavoglia S, Spranger A, Wittenbecher F, Quentin W. Switzerland: Health system review. Health Systems in Transition, 2015; 17(4):1–288.
https://www.euro.who.int/en/about-us/partners/observatory/publications/health-system-reviews-hits/full-list-of-country-hits/switzerland-hit-2015


“Pharmaceuticals are covered by MHI if they are listed on one of the two positive lists, i.e. either on the list of medicines with tariff (for medicines prescribed by a doctor and prepared in a pharmacy) (FOPH, 2013a) or on the list of pharmaceutical specialties (for industrially produced medicines) (FOPH, 2013j). (For more information see section 2.8.4.)

“The same cost-sharing regulations and exemptions apply as for other MHI-covered services (see section 3.4.1): coverage starts only after patients have spent their deductible (Sw.fr.300 to Sw.fr.2500), and there is a 10% co-insurance rate for medicinal products. Since 2006, the co-insurance rate is 20% for original drugs if a generic is available, unless the more costly original is explicitly prescribed for medical reasons (FOPH, 2013c). Since 2011, the higher co-insurance rate is also applied to generics and co-marketing products, if their prices exceed by more than 20% the average of the cheapest third of medications with the same active ingredient. Exemptions and caps on cost sharing exist, in particular for children and pharmaceuticals related to maternal health services (see section 3.4.1).”

Source: De Pietro C, Camenzind P, Sturny I, Crivelli L, Edwards-Garavoglia S, Spranger A, Wittenbecher F, Quentin W. Switzerland: Health system review. Health Systems in Transition, 2015; 17(4):1–288.
https://www.euro.who.int/en/about-us/partners/observatory/publications/health-system-reviews-hits/full-list-of-country-hits/switzerland-hit-2015


“The pharmaceutical industry is an important part of the Swiss economy, accounting for 3.2% of GDP in 2012, and for about 39% of all private research and development spending (Interpharma, 2014; Suter, Vaterlaus & Tesler, 2013). In the first two quarters of 2014, the industry had 42 000 FTE employees, i.e. about 1.2% of FTE employees in the country (FSO, 2014g). Two of the ten world’s largest pharmaceutical companies are located in Switzerland, and the country is one of the largest pharmaceutical exporters worldwide (Interpharma, 2014). At the same time, the country is heavily dependent on pharmaceutical imports from abroad, e.g. almost all antibiotics and insulin have to be imported, and the Federal Department of Economic Affairs operates a safety stock, which can guarantee availability of, e.g. antibiotics and insulin, for several months (BWL/OFAE, 2013).

“The value of the Swiss pharmaceutical market in 2013 was about Sw.fr.5.1 billion with Swiss companies having a market share of about 32% (Interpharma, 2014). About 81% of the total market were reimbursable products, almost all of which (94%) were prescription-only medicines. Sales of generics have increased considerably in recent years, also because of considerable political efforts in this area (see below). The market share of generics as a proportion of all reimbursed pharmaceuticals in terms of volume rose from 6.1% in the year 2000 to 23.9% in 2013 (OECD Health, 2014). However, the share of generics remains far below the share of generics in other countries, such as Germany (78.2% in 2012) or Austria (48.5% in 2012).”

Source: De Pietro C, Camenzind P, Sturny I, Crivelli L, Edwards-Garavoglia S, Spranger A, Wittenbecher F, Quentin W. Switzerland: Health system review. Health Systems in Transition, 2015; 17(4):1–288.
https://www.euro.who.int/en/about-us/partners/observatory/publications/health-system-reviews-hits/full-list-of-country-hits/switzerland-hit-2015


Health Systems Facts is a project of the Real Reporting Foundation. We provide reliable statistics and other data from authoritative sources regarding health systems in the US and several other nations.


Page last updated Dec. 22, 2020 by Doug McVay, Editor.

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