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What is the Generic Maximum Allowable Cost (MAC) Program?

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What is the Generic Maximum Allowable Cost (MAC) Program?

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The Food and Drug Administration rates generic drugs. This program promotes the use of A-rated generic drugs. The program applies when a generic substitute with a therapeutic equivalent “A” or “A/B” FDA rating is available. If the doctor does not write “DAW” (dispense as written), the pharmacist will automatically supply the generic and the member avoids the extra costs. If the doctor specifies “DAW”, the member gets the brand name drug and pays the generic copay as well as the difference in cost between the generic and the brand name drug.

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