The government has allocated $32 million over the upcoming three years to assist Prince Edward Island (P.E.I.) in sustaining enhancements to public prescription drug coverage and cutting costs for residents. This funding will prolong the Improving Affordable Access to Prescription Drugs Program (IAAPD), as jointly revealed by the federal and P.E.I. administrations on Friday.
Reacting to the announcement, Health Minister Cory Deagle expressed, “Receiving funds from the federal government is always positive news.” He mentioned that the additional resources will enable the inclusion of more drugs in the formulary. While the specific drugs are yet to be determined, the initiative aims to bridge the gap in drug coverage between P.E.I. and other Atlantic provinces.
Traditionally, Islanders have had access to a limited range of medications compared to residents of other regions under government drug plans. Prior to this allocation, P.E.I. had received $35 million through the IAAPD program from 2021 to 2025. By March 2025, the program had resulted in $13.8 million in savings for Islanders.
Highlighting the future financial responsibilities, P.E.I.’s federal cabinet minister Heath MacDonald noted that the province will need to cover the costs to retain these drugs on the formulary once the federal funding concludes.
The IAAPD program, introduced as a trial in 2021, has facilitated the addition of over 100 medications to the province’s public drug formulary. This has led to decreased out-of-pocket expenses for residents, particularly for treatments like cancer and heart disease. Moreover, copayments for widely used cardiovascular, diabetes, and mental health medications have been reduced. The funding has further enabled coverage for substance-use treatment and the expansion of newer second-generation antipsychotic medications under P.E.I.’s Community Mental Health Program at no charge for long-term psychiatric patients.
