Markup policies

Markup policies outline the maximum amount a pharmacy can add to the cost of a drug or ingredient, above the original cost. This amount is usually stated as a percentage of the cost.

Jurisdiction Type Pharmacy markup
Saskatchewan General

If the drug cost exceeds $200.01, the maximum markup allowance is $20.

Saskatchewan Other

Urine testing: acquisition cost along with the markup described in the general policy, plus 50% markup in place of the dispensing fee.

Saskatchewan Other

Diabetic products — insulin: acquisition cost plus a negotiated markup.

Saskatchewan Other

Diabetic products — insulin pump program: no markup allowed.

Saskatchewan Wholesale

Wholesale markup is allowed on specific products — insulin: 5%; standing offer contract products: 6%; generic drugs: 6.5%; most other drugs: 8.5%; wholesale markup is capped at $50 per package size.

Alberta General

Allowable upcharge #1 is 3% of the manufacturer’s list price.

Alberta General

Allowable upcharge #2 is 7% of the sum of the manufacturer’s list price and allowable upcharge #1 to a maximum of $100.

British Columbia General

Most drugs have a maximum markup of 8%.

British Columbia General

Products subject to the actual acquisition cost pricing maximum is 7%.

British Columbia High-cost drugs

Most high-cost drugs (expected daily cost of the typical dose is equal to or greater than $40 [$14,600 annual cost]) have a maximum markup of 5%.

 
 

How to cite:

Canadian Institute for Health Information. Markup policies. Accessed May 19, 2024.

If you have a disability and would like CIHI information in a different format, visit our Accessibility page.