Direct-to-consumer advertising rules stricter
14 August 2001 Media Statement
Direct-to-consumer advertising rules will become stricter
Health
Minister Annette King says pharmaceutical companies will
become subject to tighter controls in terms of advertising
their medicines direct to consumers.
"Over the past five years direct-to-consumer drug advertising (DTCA) has become increasingly common. The increased prevalence of direct advertising has raised concerns among health professionals about a range of issues, and these concerns led to a review that began last year," Mrs King said.
"After considering submissions made during the review, including those from consumer groups and organisations like the New Zealand Medical Association, and after receiving advice from the Ministry of Health, I have decided such advertising should continue to be allowed, but with tighter regulation."
Mrs King said at present medicine advertisements must comply with a number of different laws, industry self-regulation, and the Code of Therapeutic Advertising introduced by the Advertising Standards Authority in 1996. Medsafe, a division of the Ministry of Health, monitored compliance.
Mrs King said the principle of industry self-regulation would continue, but over the next year there would be consultation on a number of options for changes to the law.
"It is recommended by the Ministry that legislation regulating DTCA should be strengthened to ensure advertisements provide balanced information to consumers. Any changes that occur could be undertaken either as an amendment to the Medicines Act 1981, or in relation to work being done on a new Therapeutic Products Act. "
Mrs King said some changes
that had been suggested include:
- Only allow
advertisements in broadcast and print media (drug companies
are now also promoting drugs by writing to individual
patients, running competitions, giving free offers and
paying for doctor visits).
- Banning brand names of drugs
on vehicles.
- Banning sponsorship of events using the
brand name of a drug.
- Fines could be increased for not
complying with legislation and regulations.
- Specify the
length of time to be allocated to mandatory risk information
in television advertisements, as well as the font size.
-
Require voice-over of risk information, a mandatory
requirement in the United States.
"The debate around direct-to-consumer advertising has been extremely vigorous. Making evidence-based policy is not easy, as there is little empirical evidence to support either side of the debate, and the views on both sides of the debate are diametrically opposed.
"However, there is some evidence to show DTCA does increase doctor visits and prescriptions, and I believe that health professionals in New Zealand will support industry self-regulation provided we ensure tighter rules."
Ministry of Health report on policy options attached.
HEALTH REPORT
Subject: DIRECT TO CONSUMER ADVERTISING OF PRESCRIPTION MEDICINES ¡V POLICY OPTIONS
Date: 14 August 2001 File Ref: TT 05-18-11-0
Attention: Hon Annette King (Minister of Health)
Copy to: Hon Tariana Turia (Associate Minister of
Health)
Hon Ruth Dyson (Associate Minister of
Health)
EXECUTIVE SUMMARY
In 2000 you directed the
Ministry of Health to review the existing policy on
direct-to-consumer advertising (DTCA) of pharmaceuticals and
provide advice on whether there should be changes to the
current regime. On 31 November 2000 the Ministry of Health
released a public discussion paper that invited comment on
four policy options:
1. Ban DTCA
2. Retain DTCA under
the current rules and regulations of the Medicines Act 1981
with continued self-regulation by the industry (status
quo)
3. Retain DTCA under more stringent rules and
regulations than are presently in place, and continue with
industry self-regulation
4. Retain DTCA under more
stringent rules and regulations than are presently in place,
with regulation by a government agency.
The arguments raised for and against DTCA are diametrically opposed, with much of the debate taking the form of claim and counter-claim. The Ministry of Health believes little empirical evidence exists to support either side of the DTCA debate.
The Ministry of Health recommends option 3,
allowing the continuation of DTCA of prescription medicines,
but under more stringent rules and regulations and with
continued industry self-regulation.1 Due to limited
empirical evidence, it is difficult to justify banning DTCA
on the basis that DTCA directly harms consumers. Given this
lack of evidence, it would also be difficult to provide a
¡¥demonstrable justification¡¦ to ban DTCA in terms of the
New Zealand Bill Rights of Act 1990.
However, there is
some evidence to show that DTCA does increase doctor visits
and prescriptions. It is recommended that the legislation
regulating DTCA should be strengthened to ensure that DTC
advertisements provide balanced information to consumers.
This legislative review and subsequent change could be
undertaken either as an amendment to the Medicines Act 1981
or in relation to the work being done on a new Therapeutic
Products Act which is to be ready for government
consultation by late 2002.
RECOMMENDATIONS
The
recommendations are that you:
(a) Note that the Ministry
of Health received 43 submissions on the
¡¥Direct-to-consumer Advertising of Prescription Medicines
in New Zealand¡¦ discussion paper, with an almost even split
of submissions between in favour of DTCA and those against
DTCA
(b) Note that any policy decision on DTCA will be
contentious and will attract media interest and that upon
indicating your preferred policy option, the Ministry of
Health will prepare a media communications package
(c) Note that very little empirical evidence exists to
support hypotheses of potential health benefits or harm from
DTCA
(d) Note that it is difficult to find strong policy
justification to ban DTCA, and thus it would be difficult to
provide a ¡¥demonstrable justification¡¦ in terms of the New
Zealand Bill of Rights Act 1990
(e) Note that the
Ministry¡¦s preferred policy option is to retain DTCA under
more stringent rules and regulations than are currently in
place, but continue industry self-regulation.
(f) Note
that changes to the rules and regulations could include
allowing DTCA in the media only; disallow pharmaceutical
company sponsorship of events, increase fines for not
complying with the legislation, specify the length of time
that advertisements must show mandatory information; require
voice-overs relaying risk information. The Ministry and
Medsafe would need to undertake further consultation upon
these options.
(g) (i) Agree that DTCA be banned; or
(ii) Agree that DTCA be retained under the current
rules and regulations and industry self-regulation (status
quo); or
(iii) Agree that DTCA be retained under more
stringent rules and regulations, and industry
self-regulation; or
(iv) Agree that DTCA be retained
under more stringent rules and regulation and government
regulation; or
(v) Agree that DTCA only be allowed as
part of government approved public health
campaigns.
David Lambie (Dr)
Deputy
Director-General
Personal & Family Health
Directorate
MINISTER¡¦S SIGNATURE:
DATE:
BACKGROUND INFORMATION
1. Direct-to-consumer
advertising (DTCA) refers to medical advertising that is
directed to the patient or consumer, as opposed to the
medical practitioner or pharmacist. New Zealand and the
United States of America are the only industrialised
countries that allow DTCA, however many other countries are
at present grappling with the issue of whether to permit
DTCA.
2. DTCA has become commonplace in New Zealand in
the last five years, with the introduction of extensive
mass-media campaigns for drugs such as Xenical (weight
loss), Flixotide (asthma), and Viagra (impotence).
3. The
increased prevalence of DTCA has raised concerns
about:
„h individual and public health
„h the
appropriateness or inappropriateness of pharmaceutical
use
„h the doctor/patient relationship
„h increasing
health care costs ¡V to the individual and Government
pharmaceutical budget.
4. In 2000 you directed the
Ministry of Health to review the existing policy on
direct-to-consumer advertising of pharmaceuticals and
provide advice on whether there should be changes to the
current regime, and if so, what these changes should
be.
5. On 30 November 2000 the Ministry of Health
released the ¡¥Direct-to-consumer Advertising of
Prescription Medicines in New Zealand¡¦ discussion paper
(the discussion paper) which reviewed the DTCA policy
internationally and in New Zealand, and provided a range of
policy options for the future. Forty-three submissions were
received.
6. The polarised nature of the DTCA debate was
exemplified in the submissions on the discussion paper, with
an almost even split of submissions between those persuaded
by the arguments in favour of DTCA and those persuaded by
arguments against DTCA. The discussion paper asked
respondents to identify which policy option they preferred.
The resulting frequencies are reported in the following
discussion, under each policy option.
Current regulatory
environment for Direct to Consumer advertising of
medicines
7. All advertisements must comply with the
Medicines Act 1981 and the Medicines Regulations 1984, which
provides, among other provisions, a range of restrictions on
claims and a requirement for specific disclosure of side
effects.
8. Other legislation covering prescription
medicines advertising includes:
„h the Commerce Act 1986,
which establishes the legal competitive environment within
which prescription advertisers operate
„h the Fair
Trading Act 1986, which legislates against unfair
advertising
„h the Misuse of Drugs Act 1975, Consumer
Guarantees Act 1994, Privacy Act 1993, and Health
Information Privacy Code 1994. These also impact on how the
pharmaceutical industry markets and sells prescription
drugs.
9. In addition, the New Zealand Bill of Rights Act
1990 affirms the right to freedom of expression. This right
protects the promotion of commercial products through
advertising. Further comment is provided as to whether any
attempt to restrict the provisions of the Medicines Act 1981
would be in breach of the Bill of Rights Act 1990 (See
paragraph 32).
10. New Zealand¡¦s regulatory framework
relies on compliance monitoring by Medsafe and industry
self-regulation, with a fall back to judicial action in the
case of non-compliance. In 1996 the Advertising Standards
Authority introduced the Code of Therapeutic Advertising,
which requires that advertisements not only comply with the
relevant legislation, but also are also truthful, socially
responsible and not misleading or deceptive.2 The Code
applies to all forms of therapeutic advertising and covers
prescription and non-prescription medicines, medical
services, complementary medicines and food when a
therapeutic purpose is claimed.
11. Since 1999 the
Association of New Zealand Advertisers has provided a
pre-vetting service to determine whether proposed
advertisements complied with the legal and Code
requirements. On 1 November 2000 this voluntary service was
made mandatory by the advertising industry and renamed the
Therapeutic Advertising Pre-Vetting Service (TAPS). All
advertisements are vetted and issued with a TAPS number.
The TAPS number provides an assurance to the broadcasting
sector that the advertisement complies with the relevant
legislation, regulations and industry Code of
Practice.
COMMENT
Policy options
12. The ¡¥Direct
to consumer advertising of Prescription Medicines in New
Zealand¡¦ discussion paper sought submissions on four policy
options for the regulatory environment for DTCA:
„h Ban
DTCA
„h Retain DTCA under the current rules and
regulations under the management of the industry (status
quo)
„h Retain DTCA under more stringent rules and
regulations than are presently in place, but continue with
industry management of the process
„h Retain DTCA under
more stringent rules and regulations than are presently in
place, with management by a government agency.
13. A
submission on the discussion paper also suggested that
another policy option could be to ban DTCA, but allow
government approved promotion of disease management
education. This model could allow prescription drugs to be
advertised to the public as part of a government run
campaign.
14. Each of the policy options is assessed in
the discussion below using the following
criteria:
„h Ease of implementation
„h Fiscal
implications
„h Evidence of harm or health
improvements
„h Consumer access to
information
„h Pragmatic considerations
„h Doctor/patient relationship
„h Legal
implications.
Option 1: Ban DTCA
15. Under this option
any advertising/promotion of medicines would be prohibited.
Consumers would source information about such products from
health care professionals and the instructions that
accompany their medication or the Consumer Medicine
Information (CMI) fact sheet.3 Consideration would need to
be given to allowing advertising of medicines as part of
public health campaigns, for example, flu
vaccinations.
16. Thirty-four percent of submissions that
indicated a policy preference supported banning
DTCA.
Ease of implementation
17. Banning DTCA would
require either an amendment to the Medicines Act 19814 or
provision in the Therapeutic Products Bill (although the
Bill will not be ready for Government consultation until
2002).
Fiscal implications
18. Much of the debate
surrounding whether to ban DTCA concerns fiscal arguments.
Opponents to banning DTCA suggest that there would be a
reduction in economic activity and employment in the
advertising industry of up to $18 million a year if a ban
was put in place.
19. Proponents of banning DTCA argue
that advertising puts a fiscal pressure on Government
pharmaceutical budgets and General Medical Subsidies (GMS)
through increased doctors¡¦ visits and drug prescriptions.
Research has indicated that physician visits increase for
the conditions associated with advertised drugs during an
advertising campaign, and that prescriptions for that drug
also increase. However, this evidence of more frequent
physician visits related to DTCA does not distinguish
between people who require care and for whom treatment is
beneficial, and people for whom there is little evidence of
benefit. It also cannot be established whether unmet need
was being met as a result of these visits.
20. It
should be noted that over half of the drugs advertised are
not subsidised by Pharmac. Between October 1999 and
September 2000, 26 of the 46 drugs advertised were not on
the Pharmaceutical Schedule.
21. Even if it is accepted
that DTCA contributes to increased physician visits, and
increased prescriptions, which may in turn put pressure on
the pharmaceutical budget (for subsidised pharmaceuticals)
it would be difficult to justify a ban on DTCA citing fiscal
pressures, when
(a) we have no evidence that the
increases in physician visits or prescriptions are
beneficial or harmful to consumers
(b) responsibility for
prescribing lies with the physician
Evidence of harm or
health improvements
22. Extensive literature reviews of
empirical research have found that no reliable evidence
exists to support hypotheses of potential health benefits or
potential harm resulting from DTCA.
Access to
information
23. Proponents of DTCA argue that DTCA
improves people¡¦s access to information and empowers them
to seek treatment and be better informed about decisions.
The issue though is not about access to information, but
access to accurate and balanced information.
24. Submissions received on the discussion document,
empirical research and Medsafe, have all shown that the
quality of DTCA has not always been good. For example
Medsafe reviewed DTC advertisements in February 2000 for
compliance and found that only 69 percent of prescription
medicines complied with the regulations and only 16 percent
of over-counter-medicines complied. Compliance alone,
however, does not indicate that an advertisement provides
quality or balanced information.
25. Banning DTCA would
ensure that consumers are not exposed to poor quality
advertisements. However, this is an extreme measure
considering that regulations can be changed to further
regulate advertisements, for example, by prescribing the
length of time that risk information must be displayed.
26. It is also argued that banning DTCA could lead to a
paternalistic model of consumer access to information i.e.
through doctor and pharmacist. If DTCA were banned,
consumers could still access information from the internet
and CMI.
Pragmatic considerations
27. Banning DTCA
would not prevent consumers from accessing pharmaceutical
information on the internet. However, submissions argued
that consumers that have the motivation to search the
internet for pharmaceutical information would also be likely
to search out several different opinions.
28. Another
pragmatic consideration is that a self-regulatory model is
self-funding, requiring no funding from Vote Health. It is
also argued by proponents of DTCA to be more flexible and
faster acting than government regulation.
Doctor/patient
relationship
29. Once again, it is difficult to determine
whether DTCA improves or undermines the doctor/patient
relationship. Research of physicians in both America and
New Zealand has shown that on the whole, doctor¡¦s opinions
of DTCA tend to be negative.
30. Research has also
shown that a high proportion of doctors honour patient
requests for advertised drugs.5
Legal issues
31. The
New Zealand Bill of Rights Act 1990, particularly section 14
which provides for the right to freedom of expression, was
referred to by many submissions on the discussion paper.
32. Section 5 provides that the rights and freedoms
contained in the Bill of Rights Act may be subject only to
such reasonable limit prescribed by law as can be
demonstrably justified in a free and democratic society.
Legislation seeking to fully or partially ban DTCA would
need to demonstrate a clear justification. Essentially,
this would require the Government to demonstrate that any
restrictions would serve a significant and important
objective, and secondly, would require Government to show
that the measure used to implement that objective was
rationally and proportionally connected to that objective.
Any measures taken to achieve this objective should impair
the Bill of Rights Act 1990 to the least extent possible and
that no other possible means were available to achieve the
desired objective.
33. However, this is not to say that
the Government cannot introduce legislation which is
inconsistent with the New Zealand Bill of Rights Act 1990.
The Government can, and has in the past, introduced
legislation which is not consistent with the Bill of Rights
Act 1990. Thus, when considering any legislative proposal,
the emphasis must be on whether the proposal is justified
from a policy perspective, not whether the proposal is
consistent with the Bill of Rights Act 1990.
34. Regardless of this ability, given the lack of
empirical evidence on the potential health benefits or
potential harm resulting from DTCA it could be difficult to
provide justification from a policy perspective to ban DTCA,
and therefore justification to contravene the New Zealand
Bill of Rights Act 1990.
Option 2: Status
quo
35. The status quo option would continue to allow
advertising of prescription medicines with the current
legislative framework of the Medicines Act 1981 and
self-regulation by the industry.
36. The status quo
option was supported by 40 percent of the submissions that
indicated a policy preference. All of the pharmaceutical
and advertising companies who responded to the discussion
paper were in favour of retaining DTCA under the status quo
regulatory regime.
Ease of implementation
37. The
status quo option would not require any legislative change,
thus, no implementation would be required.
Fiscal
implications
38. The status quo option would maintain the
current economic activity and employment in the advertising
industry.
39. This option would not reduce pressure on
the pharmaceutical budget and GMS. Treasury has suggested
that with the implementation of a capitation system as part
of the Primary Health Care Strategy, Primary Health
Organisations are likely to be required to manage a
capitated pharmaceuticals budget, which could result in
savings long-term.
Access to information
40. The
status quo would not directly improve any issues about
access to ¡¥quality¡¦ information. Consumers would retain
the right to receive information about the availability of
products through channels other than the medical profession.
Over time, the quality of information in advertisements may
be improved through industry initiatives.
Pragmatic
considerations
41. The status quo option would allow time
for the mandatory pre-vetting TAPS system that was
introduced in November 2000 to bed down. At this early
stage, indications are that the TAPS system has contributed
to an improvement on the provision of balanced and factual
risk information in advertisements. Data provided by the
Association of New Zealand Advertisers shows that since the
introduction of the TAPS system, the number of
advertisements vetted by TAPS has increased almost
two-fold6. The status quo option would give the industry
time to prove itself under its self-regulation regime.
Doctor/patient relationship
42. The status quo option
would not change the current doctor/patient
relationship.
Legal issues
43. The status quo option
would be consistent with the New Zealand Bill of Rights Act
1990.
Option 3: Allow self-regulation DTCA but with
stricter rules
44. This option would involve a
continuation of DTCA with some tightening of the legislative
framework. The principle of industry self-regulation would
remain. This option would require changes to the Medicines
Act 1981, as well as a review of the procedures currently
used by the industry in its self-regulatory role.
Alternatively, as the Government has agreed in principle
that officials should begin work on a proposal to establish
a joint trans-Tasman regulatory agency to regulate
therapeutic products, any review could be undertaken as part
of the work on a new Therapeutic Products Act. Officials
are currently planning to have legislation ready for
consideration by the Government in late 2002.
45. Some
suggested changes to tighten DTCA legislation
are:
„h Only allow advertisements in the media i.e.
newspapers, magazines, radio and TV. Currently, drug
companies are promoting pharmaceuticals by writing to
individual patients, running competitions, giving free
offers and paying for doctor¡¦s visits ¡V none of which are
vetted by TAPS.
„h Advertisements by pharmaceutical
companies of brand names on vehicles could be banned because
as they move, it is difficult to read the mandatory risk
information.
„h Sponsorship of events by pharmaceutical
companies using a brand name could be banned as this
promotes a drug name, but without the responsibilities.
Also the drug company has no control over news
reports.
„h Fines for not complying with the legislation
and regulations could be increased.
„h A Review of
Regulation 8 of the Medicines Regulations 1984 to make it
more sensible and practical to apply (see paragraph
51).
„h Specify the length of time for TV advertisements
for the mandatory risk information to be specified, as well
as the font size.
„h Require voice over of risk
information (this is mandatory in the United States of
America).
„h Shift the onus from the complainant having
to find an example of the offensive advertisement, to the
pharmaceutical company. It is very difficult for the public
to be required to video an advertisement on TV in order to
make a complaint about it. The TAPS system could be
required to keep an archive of all advertisements that it
approves so that if someone makes a complaint, they just
need to say what was being advertised, and TAPS will provide
a copy.
„h Require a fair balance of benefit and risk
information (which is required in the United States of
America).
Ease of implementation
46. Both the
Ministry of Health and Medsafe would need to further
investigate and consult upon the above suggested changes,
which may take up to one year to complete. This option
would involve considerable legislative review.
Fiscal
implications
47. It is possible that legislative changes
could lessen the pressure on the pharmaceuticals budget than
the status quo option.
Access to
information
48. Adopting the suggested changes to
advertising regulations would enhance consumer access to
accurate and balanced information.
Doctor/patient
relationship
49. The option could put less pressure on
the doctor/patient relationship.
Legal considerations and
pragmatic considerations
50. It could be argued that if
it is difficult to find cause for a ban, it may also be
difficult to find cause for tightening regulations.
However, given that arguments for DTCA rely on the right to
inform customers of products, it is important for the
Government to ensure that consumers receive accurate and
balanced information. Also, it could be argued that in the
absence of definitive research about the benefits and risks
of DTCA, the Government should be cautious about the effects
of DTCA and tightening of regulations could be justified.
51. Also, many of the proposed amendments would make the
current regulations more practical and sensible to apply.
For example, whether DTCA is banned or not, many
submissions, both those in favour and those opposed to DTCA,
commented that regulation 8 of the Medicines Regulation 1984
needs to be reviewed as it is difficult to apply to
advertisements other than those in print. Regulation 8
requires that advertisements and labels of medicines contain
the quantities of ingredients, authorised use of the
medicine, precautions, contra-indications and adverse
effects.
Option 4: Allow DTCA under more stringent
rules and regulations than are presently in place, but
managed by government agency
52. This option involves a
tightening of the regulatory regime (similar to but not
necessarily the same as for Option 3) and a government
agency taking control of overseeing industry compliance of
the rules governing DTCA. Under this option it is likely
that Medsafe¡¦s role would have to be expanded to include
oversight of this regime.
Ease of
implementation
53. This option would involve considerable
Ministry personnel resource to both establish functions and
to manage the vetting process of advertisements. This
function would need to be absorbed by Medsafe although
funding would still come from pharmaceutical
companies.
54. This option would require an amendment to
the Medicines Act 1981.
Access to
information
55. Aside from a ban, this option would
provide the strongest assurance that consumers were only
subjected to accurate and balanced pharmaceutical
information.
Pragmatic considerations
56. A government
agency regulating pharmaceutical advertising would be seen
to be entirely independent and transparent. However, a
government agency would not have support from the
pharmaceutical sector, which may in turn alter their
compliance with the regulations.
Doctor/patient
relationship
57. This option may reduce pressure on the
doctor/patient relationship as consumers would not be
exposed (and therefore not demand) as many pharmaceuticals
as they do currently. Consumers may still obtain
information from the internet, which may still lead them to
request pharmaceuticals.
Fiscal implications
58. This
option could involve significant cost to the Government ($1
to 2 million per year) if funded directly. Alternatively,
these costs could be recovered if the agency was funded by
fees paid by the pharmaceutical industry, just as they
currently pay for advertisements to be vetted by
TAPS.
Legal considerations
59. The same legal
considerations apply as for Option 3.
Option 5: Only
allow government approved DTCA
60. The Australian
Government continues to ban DTCA of prescription medicines,
however, it allows government sponsored public health
campaigns, which do not mention specific pharmaceuticals.
61. This option would effectively be a ban. The
arguments from option 1 are therefore applicable.
Review
of regulatory environment governing DTCA for
over-the-counter medicines or preparations (manufactured or
natural)
62. The discussion paper asked respondents
whether they considered there is a need for the Government
to review the regulatory environment governing DTCA for
over-the-counter medicines or preparations (manufactured or
natural). Seventy percent of submissions supported the
proposal. However, many submissions appeared to truncate
the original question and agreed for the need to review the
regulatory environment governing DTCA, without specifically
acknowledging over-the-counter medicines. The
Non-Prescription Medicines Association are concerned that a
distinction be made between registered over-the counter
medicines (medicines that have been through the Medsafe
evaluation) and products available to consumers as dietary
supplements or herbal remedies purporting to offer
therapeutic benefits to consumers.
63. Many submissions
that specifically addressed the discussion paper question,
considered that sufficient regulation already exists for
registered OTC medicines. The OTC medicines sector has to
comply with the Medicines Act 1981 (and regulations),
Medsafe Guidelines, and specific industry codes of practice.
The Advertising Standards Authority Therapeutic Code covers
all products that make a therapeutic claim whether they are
prescription medicines or over-the counter
medicines.
64. However, concern was expressed about
natural and complementary medicines that technically evade
the Medicines Regulations ie products on the fringes which
¡¥suggest¡¦ but do not make a therapeutic claim.
65. The
Government has recently established an Advisory Committee on
Complementary and Alternative Health to advise the Minister
of Health on issues related to complementary and alternative
healthcare products, therapies and practitioners. Given
that this Committee has been established, it would not make
sense for the Ministry to conduct a separate review on
over-the counter medicines which have not been approved by
Medsafe.
66. The proposal for a joint trans-Tasman
agency to regulate therapeutic goods may precipitate the
need to review the regulatory requirements for all
medicines. Thus, it is recommended that the regulatory
environment for over-the-counter medicines not be reviewed
at present. However, this does not preclude any amendments
to the Medicines Act 1981 or Regulations 1984 from also
applying to over-the-counter medicines. Further, dietary
supplements will be regulated under the planned trans-Tasman
joint agency.
Treasury and Ministry of Justice
comment
67. The Treasury and Ministry of Justice do not
support any change to the current regulations covering DTCA
practices as they believe there is no demonstrable
justification for doing so. They consider that in order to
address increases in visits to doctors and increases in
prescribing, the Ministry of Health should focus on
improving existing systems to better educate doctors about
appropriate prescribing practice, especially in relation to
new and emerging pharmaceuticals.
68. If there are issues
around the nature of the content of advertisements (i.e. the
advertisement contains claims that are false, misleading or
deceptive), then this issue should be addressed by more
stringent policing under the Fair Trading Act
1986.
69. Treasury and the Ministry of Justice consider
that before any measure tightening the restrictions on DTCA
can be considered a reasonable limitation on the right to
freedom of expression, there would need to be some evidence
demonstrating that the proposed measure provided the most
minimal limitation on that right.
Ministry of Health
preferred policy option
70. The policy debate surrounding
DTCA is extremely contentious and highly political. It is
difficult to formulate evidence-based policy as little
empirical research exists. New Zealand is being watched by
the international community to see which policy option we
choose.
71. In summary, we can be sure that:
„h DTCA
has been steadily increasing in New Zealand
„h Media
advertising of prescription medicines is heavily
concentrated among a relatively small number of
drugs
„h DTCA stimulates sales of
pharmaceuticals
„h Some studies have shown the quality of
the information contained in advertisements is often
poor
„h Physician visits increase for the conditions
associated with advertised drugs increase during an
advertising campaign, however, we cannot be sure on the
appropriateness of these visits ie whether unmet need was
met
„h A high proportion of physicians honour patient
requests for advertised drugs
„h Responsibility for
prescribing lies with the physician
„h Effects on the
doctor/patient relationship remain largely unknown
„h No
reliable evidence exists to support hypotheses of potential
health benefits or potential harm resulting from
DTCA
„h pharmaceutical advertising is an $18 million
dollar industry in New Zealand
72. The Ministry of Health
recommends allowing the continuation of direct to consumer
advertising of prescription medicines, but with tighter
regulations. Due to limited empirical evidence, it is
difficult to find strong policy justification to ban DTCA as
there is no proven link that DTCA directly harms consumers.
Given this lack of policy justification, it would also be
difficult to provide a ¡¥demonstrable justification¡¦ to ban
DTCA in terms of the Human Rights Act 1990.
73. However, considering there is some evidence to show
that DTCA contributes to increased doctor visits and
prescriptions, it is recommended that the rules regulating
DTCA should be strengthened to ensure that DTC
advertisements provide balanced information. Hence the
suggestion to require television and radio advertisements a
voice-over of the risks. Further, the recommendation that
DTCA only be permitted in the media, namely radio,
television and print, would ensure that TAPS vets all DTC
advertisements.
74. The regulations should also be
reviewed to make sure that they are practical in terms of
advertising technology. For example, both those in favour
and against DTCA recommend reviewing Regulation 8 of the
Medicines Regulation 1984.
75. The Ministry and Medsafe
will need to be undertake further consultation to develop
amendments to the Medicines Act 1981 and Medicines
Regulations 1984. Alternatively, this work could also be
considered as part of the development for the new
legislation for the trans-Tasman joint therapeutics
regulatory agency environment.
76. The Ministry agrees
with the Ministry of Justice and Treasury that doctors have
a responsibility to ensure that pharmaceuticals are
prescribed appropriately. However, organisations already
exist to provide prescribers with independent, evidence
based advise to encourage appropriate prescribing, for
example, the Preferred Medicines Centre Incorporated
(PreMeC), the New Zealand Guidelines Group and Medsafe.
IMPLICATIONS FOR REDUCING INEQUALITIES
77. Concern
has been expressed that DTCA targets the vulnerable (who may
lack education or suffer from chronic or severe illness)
with emotional rather than rational information. To ensure
that consumers are empowered with accurate and balanced
information, the Ministry preferred option is to permit DTCA
but tighten the
regulations.
ENDS