Posted by Michael Wonder on 05 Feb 2019
We must reduce drug prices with policies that work, not more regulation
5 February 2019 - Last week, the Department of Health and Human Services moved to end “backdoor rebates” in Medicare Part D and Medicaid Managed Care Organisations.
Doing so would change the legal protection parameters for rebates between drug manufacturers, insurers, and pharmacy benefit managers.
Critics of these rebates say that pharmacy benefit managers drive up the cost of drugs by negotiating larger and larger rebates, but fail to pass these savings onto patients. Cracking down on backdoor rebates will significantly improve affordability for patients by effectively mandating that the beneficiary benefit from them at the pharmacy counter.
