Friday, July 6, 2018

Reimbursement for Brand-Name Drugs in Medicare Part D Rose From 2011 to 2015


The Trump administration in its drug pricing “blueprint” included plans to explore moving certain Medicare Part B drugs into Part D in an effort to contain rising drug costs (RMA 5/17/18, p. 1). Meanwhile, a new report from the HHS Office of the Inspector General found that federal reimbursement for Part D brand-name drugs rose 77% between 2011 and 2015, while unit costs for these agents jumped 29% on average — nearly six times greater than the 5% increase in the consumer price index.

Reimbursement for Brand-Name Drugs in Medicare Part D Rose From 2011 to 2015

SOURCE: HHS Office of Inspector General analysis of Medicare Part D data, 2011 to 2015. Visit https://oig.hhs.gov/oei/reports/oei-03-15-00080.pdf.

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