Government of Canada Passes Legislation for a First Phase of National Universal Pharmacare

Pharmacare Act includes universal access to contraception and diabetes medications.

OTTAWA, ON, Oct. 10, 2024 /CNW/ - Everyone in Canada deserves access to the medications they need, regardless of where they live or their ability to pay. Canadians should not have to choose between purchasing the medications that keep them healthy and putting food on the table.

Today, the Pharmacare Act received Royal Assent and immediately came into force. The Minister of Health will continue working with provinces and territories to reach bilateral agreements to provide universal, single-payer, first-dollar access to a range of contraception and diabetes medications as the first phase of a national universal pharmacare program. These agreements will support reproductive freedom by providing up to nine million women and gender diverse people in Canada free access to contraception. Additionally, the 3.7 million people in Canada living with diabetes will have universal access to a suite of medications that reduce the risk of serious health complications and improve quality of life.

The Act also requires that Canada's Drug Agency develop a list of essential drugs and related products to inform the development of a national formulary, a national bulk purchasing strategy to help further reduce drug prices, and a pan-Canadian strategy on the appropriate use of prescription medications. The Government of Canada will consult with provinces, territories, Indigenous Peoples, and other partners and stakeholders about the path forward to improve the accessibility, affordability, and appropriate use of pharmaceutical products. The Act also requires that a committee of experts be established within thirty days to make recommendations on the operation and financing of national, universal, single-payer pharmacare in Canada. 

Passing the Pharmacare Act is a crucial step forward to improve health equity, affordability, and outcomes, and will result in long-term savings to the health care system. The government is determined to work towards a plan where Canadians can obtain their medication as prescribed, regardless of where they live or if they can afford it.

Quotes

"Everyone in Canada deserves access to the care they need, including to prescription medications. Our plan for universal access to contraception means reproductive freedom and choice and access to diabetes medication is a transformational step towards improving health outcomes and health equity in Canada. I thank all partners for their contributions to making this happen."

The Honourable Mark Holland
Minister of Health

Quick Facts

• Many Canadians have no insurance for prescription medication or are under-insured. In 2021, Statistics Canada found that one in five adults in Canada did not have the insurance they needed to cover their medication costs.
• On February 29, 2024, the Government of Canada introduced Bill C-64, An Act respecting pharmacare (Pharmacare Act).
• In addition to providing access to a number of contraception and diabetes medications, the Act will also establish a fund for diabetes devices and supplies to help Canadians manage and monitor their diabetes and administer their medication.
• On December 18, 2023, the Government of Canada announced the creation of Canada's Drug Agency with an investment of over $89.5 million over 5 years, starting in 2024-25. The Agency will help Canadians achieve better health outcomes by providing the dedicated leadership and coordination needed to make Canada's drug system more sustainable and better prepared for the future.
• On March 22, 2023, the Government of Canada announced measures in support of the first-ever National Strategy for Drugs for Rare Diseases, with an investment of up to $1.5 billion over three years to help increase access to, and the affordability of, effective drugs for rare diseases. Bill C-64 commits to a model for long-term funding through bilateral agreements with provinces and territories, beginning with funding for the National Strategy for Drugs for Rare Diseases.
• In August 2021, the Governments of Canada and Prince Edward Island (PEI) announced the Improving Affordable Access to Prescriptions Drugs Program that provides federal funding to PEI to improve access to prescription drugs and make them more affordable for Island residents. Since then, PEI residents have saved over $2 million in out-of-pocket costs on more than 230,000 prescriptions under PEI's $5 copay program, which was launched in June 2023 and reduced copays for almost 60% of medications regularly used by Island residents.

Associated Links

• Backgrounder: Universal Access to Contraception
• Backgrounder: Universal Access to Diabetes Medications, and Diabetes Device Fund for Devices and Supplies
• Final Report of the Advisory Council on the Implementation of National Pharmacare
• Prescription drug insurance coverage

SOURCE Health Canada (HC)

Contacts: Matthew Kronberg, Press Secretary, Office of the Honourable Mark Holland, Minister of Health, 343-552-5654; Media Relations, Health Canada, 613-957-2983, [email protected]; Public Inquiries, 613-957-2991, 1-866-225-0709