Generic Rozerem is a sedative, also called a hypnotic. Its action is based on the properties of an active ingredient Ramelteon. It works by affecting certain substances in your body that help regulate your "sleep-wake cycle." Ramelteon is used to treat insomnia that is associated with having trouble falling asleep. Unlike some other sleep medications, ramelteon is not known to be habit-forming. This medication is used to treat sleeplessness (insomnia). It helps you fall asleep faster so you can get a full night's rest. Sleep is important for your ability to function, think clearly, and remain alert. Lack of sleep can cause problems such as depression, heart disease and accidents. Getting enough sleep allows your mind and body to repair itself and increases your energy throughout the day.