Insurers worry drug companies could game changes to Medicaid rebate program in new rule

Fierce Healthcare

By: Robert King

Insurers are worried a raft of proposed changes to the Medicaid Drug Rebate Program could lead to drug manufacturers gaming the system to charge higher prices.… “The rule does not set a time limit on when manufacturers have to revise their best price reporting under a [value-based payment] arrangement—the current time limit is three years—even though state Medicaid programs would be most in need of upfront rebates to offset the costs of a new expensive drug in the first years the drug enters the market,” according to comments from Georgetown University Health Policy Institute’s Center for Children and Families.

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