PBMs Have Been Feeling The Heat Lately When It Comes To High Drug Costs. So What Will This Week’s Hearing Look Like?
Executives from pharmacy benefit managers will have a chance to defend themselves from all the finger-pointing this week at a congressional hearing on high drug prices. The grilling follows one last month where pharma executives emerged largely unscathed. It's unclear if the PBMs will escape with the same outcome.
Stat:
Lawmakers Will Grill Five Pharmacy 'Middlemen' — Some More Than Others
President Trump has blasted them as “middlemen,” known for their “dishonest double dealing.” Key Democrats decry the industry as a “black box” under a “veil of secrecy.” Pharmaceutical companies, pharmacists and doctors incessantly pummel them, in ads and in testimony, as the key culprits behind the nation’s rising drug prices. Now, the “middlemen” — pharmacy benefit managers, entities that aim to help insurance companies negotiate lower drug prices by managing formularies and extracting rebates — will have an unprecedentedly high-profile chance to defend themselves. (Florko, 4/8)
In other pharmaceutical news —
Modern Healthcare:
CMS Offers Transition For Part D Plans For Safe Harbor Rule
The CMS will offer a two-year transition for Medicare Part D plans under the administration's proposal to eliminate safe harbor protections for pharmacy benefit managers. CMS Administrator Seema Verma made the announcement in a Friday bulletin. The guidance comes as Part D insurers warn they may hike premiums when the proposed rule is finalized. The administration set Jan. 1 of next year as its target date for implementation and the comment period ends Monday. (Luthi, 4/5)
