What is a maximum allowable costs list?
The Bankrate.com financial term of the day is: "maximum allowable costs list."
When the patent on a drug ends and multiple companies are allowed to make generic versions, prices can vary. Health plans are all about holding down costs, so they issue maximum allowable costs lists -- or MAC lists -- laying out the top prices they're willing to pay for medications that have generics available.
A good piece of money-saving advice for patients is to ask your doctor if there's a generic available for your next prescription. If the answer is yes, the price of that drug will be based on your health plan's maximum allowable costs list, or MAC list.
To get an insurance quote, visit the Insurance section at Bankrate.com.