In a move driven by its ongoing bankruptcy proceedings, Rite Aid has unveiled plans to shutter a significant number of its stores, a decision that experts warn could have far-reaching repercussions on healthcare accessibility, particularly in predominantly Black and Hispanic neighborhoods as well as in remote rural areas.
Rite Aid, a prominent drugstore chain boasting an extensive network of over 2,000 stores primarily situated along the East and West coasts, anticipates the closure of several hundred locations in the coming years. This development raises apprehensions about the emergence of what experts term as “pharmacy deserts” – locales bereft of convenient access to a nearby drugstore.
The potential fallout of these closures extends beyond inconvenience, as residents, especially those from lower-income, Black, and Latinx neighborhoods reliant on Medicaid coverage, along with rural inhabitants, might grapple with formidable challenges in reaching alternative pharmacy options if their regular establishments cease operations. Dr. Dima Qato, an esteemed Associate Professor at the University of Southern California renowned for her research in pharmacy accessibility, underscores the trend of drugstore chains systematically exiting these communities, regardless of the presence of alternative pharmacies in the vicinity. Dr. Qato stresses that such closures often result in individuals veering off their prescribed regimens, ultimately detrimentally affecting their overall health.
However, Rite Aid contends that in its comprehensive plan, it pledges to exert every conceivable effort to ensure that its clientele can access vital health services, either at another Rite Aid outlet or a nearby pharmacy. The company had also initiated a pilot initiative targeting rural pharmacy deserts, deploying smaller stores in rural Virginia, in a bid to mitigate the impact of such closures on underserved regions.
Portfolio Manager for Gabelli Funds, Jeff Jonas, acknowledges the drugstore industry’s inclination to support pharmacy accessibility initiatives, albeit within the constraints of economic viability. Jonas notes that Medicaid, given its lower reimbursement rates, may not be an economically enticing prospect for these companies.
The ultimate ramifications of the bankruptcy proceedings of Rite Aid on medicine accessibility in minority and rural communities remain uncertain, as the process continues to unfold. The stakes are high, with concerns echoing through various quarters about the potential exacerbation of existing disparities in healthcare access. As stakeholders and observers closely monitor developments, the critical need for strategic interventions to safeguard healthcare accessibility, particularly in marginalized and remote areas, is underscored.
Source: AP News
