Duplicate discounts remain a significant problem for the 340B Drug Pricing Program. Reports from the Office of Inspector General (OIG) and the U.S. Government Accountability Office (GAO) have highlighted the problems, however, there is a simple solution that can eliminate duplicate discounts: Convert 340B purchase discounts to rebates.
Since 340B was created in 1992, covered entities only obtained the benefit of the program via an invoice discount effectuated through a wholesaler. Manufacturers and wholesalers have chargeback procedures to process these discounts. But today there is only one scenario that does not result in duplicate discounts: those 340B drugs dispensed by AIDS Drug Assistance Programs (ADAPs). And that’s because ADAPs receive 340B pricing in the form of a rebate. A 340B rebate will solve the duplicate discount problem, while providing benefits to all stakeholders. Most importantly, it would allow manufacturers and covered entities to work together in a transparent manner.
During this webinar, you’ll learn:
- An understanding of Congress’ original goals for the 340B program
- How intermediaries now threaten that vision - and the program itself
- Why 340B rebates support all stakeholders