30/09/2025
Yes to Prescribing Medicine by Its Generic Name
A recent policy circular issued by a third-party administrator (TPA) responsible for handling private health insurance claims instructed doctors to prescribe medicine by indicating the active ingredients of medicines only, commonly known as the generic name. This has triggered discussion, particularly within the private healthcare sector.
The Consumers’ Association of Penang (CAP) is concerned that organisations such as the Malaysian Medical Association (MMA) and the Association of Private Hospitals Malaysia (APHM) have misunderstood or misinterpreted the policy, claiming that it means doctors can only prescribe generic medicines. This interpretation is incorrect, misleading the public about the policy's true intention.
Put simply, during a consultation with a patient, if a doctor decides that the patient needs a general painkiller, he should prescribe 'paracetamol' rather than 'Panadol' (an originator brand name) or 'Uphamol' (a generic brand name). The public is often confused by some medical practitioners implying that generic medicines are inferior to originator brands. In fact, under the governance and strict control of the National Pharmaceutical Regulation Agency (NPRA), all generic medicines in the Malaysian market, whether locally manufactured or imported, must meet high validation and clearance standards to satisfy the 'safety, efficacy and quality' requirements. As such, generic medicines must perform bioequivalence studies to demonstrate that they are virtually identical to the originator medicine profile; therefore, generic medicines are as effective.
Even if a doctor prescribes paracetamol, the patient can still obtain 'Panadol' pills, as the originator brand also contains the same active ingredient under its generic name. According to the Medicine Prices Monitoring Survey 2022, the median procurement price in the private sector shows that originator brands cost four times more than generics. It is therefore easy to see how this translates into a higher final retail price. The idea that an originator brand is superior is a gross misconception. It is more likely that the originator brand company has greater financial resources for marketing and advertising, and was the only product in the market until its patent monopoly expired. Thereby, opening the market to generics competition can lower prices.
CAP would like to remind MMA and APHM, as well as the general public, that the Malaysian National Medicines Policy (DUNas) 2012 specifies the national generic medicines policy in section 3.2.2.3. Among the seven points, the policy outlines the following:
● Prescribing in generic International Non-proprietary Name (INN) shall be practised at
all channels;
● Procurement of all medicines by generic INN shall be promoted;
● All dispensed medicines shall be labelled prominently with the generic INN of the
medicine with or without the brand name.
Thus, the TPA circular is in line with the DUNas. In fact, all facilities should have adopted this practice to raise awareness and provide patients with useful information about their medicines, including the generic name. Affordability of medicines, with rising healthcare costs, is crucial and with the option to buy generics, consumers will have significant savings.
Therefore, CAP believes that doctors should always act in their patients' best interests, including considering the financial implications of healthcare for them. By prescribing medicines by their generic names, patients will be made aware of the availability of cheaper generic medicines that are as effective. Pharmacists could also advise patients accordingly without contravening a doctor's prescription.
CAP believes that this policy would really help to curb medical inflation and control medicine costs without conflicting with doctors' medical judgements and instructions. This should benefit everyone. Thus, CAP endorses the good practice for doctors in prescribing medicines by their generic name.
Mohideen Abdul Kader
President
Consumers’ Association of Penang
Yes to Prescribing Medicine by Its Generic Name
A recent policy circular issued by a third-party administrator (TPA) responsible for handling private health insurance claims instructed doctors to prescribe medicine by indicating the active ingredients of medicines only, commonly known as the generic name. This has triggered discussion, particularly within the private healthcare sector.
The Consumers’ Association of Penang (CAP) is concerned that organisations such as the Malaysian Medical Association (MMA) and the Association of Private Hospitals Malaysia (APHM) have misunderstood or misinterpreted the policy, claiming that it means doctors can only prescribe generic medicines. This interpretation is incorrect, misleading the public about the policy's true intention.
Put simply, during a consultation with a patient, if a doctor decides that the patient needs a general painkiller, he should prescribe 'paracetamol' rather than 'Panadol' (an originator brand name) or 'Uphamol' (a generic brand name). The public is often confused by some medical practitioners implying that generic medicines are inferior to originator brands. In fact, under the governance and strict control of the National Pharmaceutical Regulation Agency (NPRA), all generic medicines in the Malaysian market, whether locally manufactured or imported, must meet high validation and clearance standards to satisfy the 'safety, efficacy and quality' requirements. As such, generic medicines must perform bioequivalence studies to demonstrate that they are virtually identical to the originator medicine profile; therefore, generic medicines are as effective.
Even if a doctor prescribes paracetamol, the patient can still obtain 'Panadol' pills, as the originator brand also contains the same active ingredient under its generic name. According to the Medicine Prices Monitoring Survey 2022, the median procurement price in the private sector shows that originator brands cost four times more than generics. It is therefore easy to see how this translates into a higher final retail price. The idea that an originator brand is superior is a gross misconception. It is more likely that the originator brand company has greater financial resources for marketing and advertising, and was the only product in the market until its patent monopoly expired. Thereby, opening the market to generics competition can lower prices.
CAP would like to remind MMA and APHM, as well as the general public, that the Malaysian National Medicines Policy (DUNas) 2012 specifies the national generic medicines policy in section 3.2.2.3. Among the seven points, the policy outlines the following:
● Prescribing in generic International Non-proprietary Name (INN) shall be practised at all channels;
● Procurement of all medicines by generic INN shall be promoted;
● All dispensed medicines shall be labelled prominently with the generic INN of the
medicine with or without the brand name.
Thus, the TPA circular is in line with the DUNas. In fact, all facilities should have adopted this practice to raise awareness and provide patients with useful information about their medicines, including the generic name. Affordability of medicines, with rising healthcare costs, is crucial and with the option to buy generics, consumers will have significant savings.
Therefore, CAP believes that doctors should always act in their patients' best interests, including considering the financial implications of healthcare for them. By prescribing medicines by their generic names, patients will be made aware of the availability of cheaper generic medicines that are as effective. Pharmacists could also advise patients accordingly without contravening a doctor's prescription.
CAP believes that this policy would really help to curb medical inflation and control medicine costs without conflicting with doctors' medical judgements and instructions. This should benefit everyone. Thus, CAP endorses the good practice for doctors in prescribing medicines by their generic name.
Mohideen Abdul Kader
President
Consumers’ Association of Penang
