According to a study by the American Cancer Society Cancer Action Network (ACS CAN) and Avalere Health, Medicare beneficiaries will be paying more out of their own pockets for cancer therapies in the upcoming year. They will also have more restrictions on access to cancer drugs than they have had in the past. The ACS and Avalere analysis was based on data for about 4,500 Medicare prescription drug plans.

In 2009, most Medicare prescription drug plans will place cancer drugs, including thalidomide (Thalomid), a common drug used in the treatment of multiple myeloma, on their most expensive formulary tier. Beneficiaries will have to shoulder an increasing copayment, now approximately 26 percent to 35 percent of the drug's cost.  Therapies involving thalidomide can cost from $2,000 to $5,000 a month.

According to the analysts, this reflects a growing trend: from 2006 to 2008, a growing number of health plans have moved drugs to higher tiers, which directly reflects the increasing percentage that must be covered by copayments.

Furthermore, in line with increasing restrictions, 62 percent to 74 percent of plans require prior authorization for cancer therapies, and more than a quarter limit the quantity of the drug that can be covered under health insurance.

For more information, see Avalere's Web site and the Avalere-ACS CAN cost sharing research.