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What are the Differences Between Brand Name and Generic Drugs?

By Nicole Long
Updated: May 17, 2024
Views: 4,561
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Brand name and generic drugs have some similarities and some differences. Both drugs often contain the same active ingredients, but the inactive ingredients may be different. Other differences between brand name and generic drugs can include costs, name, color, and possible adverse reactions.

Most countries have agencies that oversee the regulation of pharmaceutical medications, including brand name and generic drugs. It is usually required that all generic drugs contain identical active ingredients, be of the same strength, and administered in the same way as their comparative brand name drugs. Generic drugs also must often be approved by a governmental agency before they reach the marketplace.

Upon initial discovery, brand name drugs hold patent to the drug and formulation for a specified period of time. This allows the company that discovered the drug to recapture some costs that went into funding research and production. Once the patent expires, generic drugs enter the marketplace and provide another option for consumers at the pharmacy counter.

The main difference consumers usually notice between brand name and generic drugs is the cost at the pharmacy counter. Consumers normally spend less on generic drugs, as do hospitals and other healthcare providers, such as nursing homes. This reduction in cost is largely due to the fact that producers of generic drugs have been allowed to refrain from conducting animal and clinical testing on ingredients already tested by the original brand name drug patent holder. Generic drugs typically don’t spend the same amount of money on advertising and marketing.

Generic drugs cannot carry the same name as brand name drugs. The name originally patented by the manufacturer of the brand name drug is still protected. Patients may notice that the color and any identifying marks, such as company initials or brand name monikers, can also differ.

The function of generic and brand name drugs is the same. Some patients have reported suspected treatment problems when switched between brand name and generic drugs. This can be attributed to the possibility of treatment failure using either brand name or generic drugs, and many medical professionals do not believe the drug's generic or brand name status contributes to these occurrences.

Adverse reactions to different inactive ingredients may be experienced when switching from a brand name formulation to a generic formulation. Though generic drugs must contain the same active ingredients, manufacturers can use different inactive ingredients when developing generic drugs. In addition, patients taking a generic form of a drug can experience a reaction to any of the active ingredients, just as they would if prescribed the brand name version.

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