AMA Proposes Ban on Television Drug Ads Save

The American Medical Association has called for a ban on direct-to-consumer (DTC) advertising for prescription drugs and medical devices, noting these forms of advertising drive up health care costs and often mislead the public.

Spending on drug advertising has risen dramatically in recent years, especially television advertising. In 2014, DTC advertising spending topped out at $4.54 billion, a 21% increase over 2013.

The majority of DTC ads targets drugs with a large market, since past experience has shown DTC advertising is an important contributor to turning a drug into a "blockbuster drug", meaning one that has over $1 billion in sales annually.

The pharmaceutical industry argues and has data showing DTC advertising (print and television advertising) better informs patients and promotes discussions that would not normally occur between patient and physician. Conversely, the AMA says DTC advertising drives patients to request expensive treatments, even when there are other less expensive, equally clinically effective options.

Currently, ads for drugs to treat diabetes, depression, impotence and more deluge TV viewers. This drives demand for expensive treatments, the nation's most influential doctor group said when it adopted the new policy. "Today's vote by the AMA in support of an advertising ban reflects concerns among physicians about the negative impact of commercially driven promotions, and the role that marketing costs play in fueling escalating drug prices."

The United States and New Zealand are the only countries that permit direct-to-consumer ads for prescription drugs, according to the AMA. Ad spending by drug makers increased 30 percent from 2012 to 2014, reaching $4.5 billion, according to market research firm Kantar Media.

When prescription drugs are unaffordable and subject to coverage limitations by the patient's health insurance plan, care can be compromised.