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Pharma still blaming drug middlemen for obscene prices | World of DTC Marketing

The Best Way to Lower Drug Prices: End the Medicaid Program that Blocks Discounts
According to Fortune “the system is indeed broken, but the Administration is ignoring the right prescription. The principal reason that it’s so tough to drive down drug costs is a mostly-overlooked, blatantly anticompetitive regulation that blocks private purchasers from securing the super-deep discounts they’d be garnering in an open market. The barrier is known as the “Medicaid Best Price” policy. In effect, it puts a concrete floor under prices offered to the private plans that purchase over 40% of America’s prescription drugs. The HHS release advertises itself as a daring manifesto for taming drug prices, yet makes no mention of this competition-killer.

It’s important to understand that the new rules are primarily aimed at Medicare Part D, the program that accounts for around 30% of the $500 billion the U.S. spent on drugs in 2018. The measure wouldn’t outlaw rebates to PBMs managing private plans. It also leaves the Medicaid Best Price policy precisely in its current form. The 123 page full text of the proposed regulation states, that “the proposed rule would not alter obligations for Medicaid prescription drug rebates…including provisions related to the best price.”

I’m suspicious of any changes to drug pricing that is supported by pharma and their lobbying arm PhRMA. We need to erase the board and start from square one when it comes to ALL healthcare pricing. As long as pharma is reporting strong healthy and growing profits forgive me if I don’t feel their pain.

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Pharma still blaming drug middlemen for obscene prices -World of DTC Marketing.com.

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