Patient Assistance Program (PAP)
A manufacturer-sponsored program that provides free or discounted drugs to patients who meet income and insurance eligibility requirements.
How It Works
Most major drug manufacturers operate PAPs for their brand-name products. Eligibility typically requires U.S. residency, income below 300-400% of the federal poverty level, and lack of adequate insurance coverage. PAPs can provide drugs completely free or at significantly reduced cost. These programs exist partly as a safety net and partly as a business strategy: they build brand loyalty and keep patients on the brand-name drug rather than switching to competitors. NeedyMeds.org and RxAssist.org maintain searchable databases of available PAPs. In 2022, PAPs provided over $18 billion in free medications.
Related Terms
- Out-of-Pocket Cost — The amount a patient pays directly for a prescription drug — including copays, coinsurance, and deductible payments.
- Copay Card (Copay Coupon) — A manufacturer-provided discount card that reduces or eliminates a patient's out-of-pocket copay for a brand-name drug — effectively making the drug free for patients with commercial insurance.
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About This Definition
This definition is part of the DrugPrice Drug Pricing Glossary — 34 terms explaining how prescription drug pricing works in the United States. All definitions are written in plain language for patients, caregivers, journalists, and healthcare professionals.