HHS Has Plans to Pay for Drugs in Medicare Part B Based on International Prices
The U.S. Department of Health and Human Services (HHS) has announced it will test a new payment model that aims to substantially lower the cost of prescription drugs and biologics covered under the Medicare Part B program. The new system would, for the first time, base payment for these drugs on the typically lower drug prices paid in other countries.
But Part B spending accounts for just a small slice — 5 percent — of the total national drug bill.
In a new To the Point post, the Commonwealth Fund’s Shawn Bishop, Christina Ramsay, and Lovisa Gustafsson argue that HHS could instead pursue a broader cost-reduction strategy that adapts core elements of the international approach to drug pricing. Taking bold action would put in place a system that could help lower drug costs for many more Americans.
prescription pills_1x1 Read the post HHS Has Plans to Pay for Drugs in Medicare Part B Based on International Prices