Medicare Payment Demo Would Put Often-Prescribed Cancer Drugs ‘Underwater’

Community oncology practices and hospitals strongly object to CMS’ plan for testing different reimbursement formula Part B drugs, which is expected to particularly impact treatments for cancer, arthritis and eye disease.

Nearly 50 of the most frequently-prescribed oncology or treatment-related drugs would be ‘underwater’ – or reimbursed at less than acquisition cost – under the payment rate in the Medicare demonstration project recently proposed by the Centers for Medicare and Medicaid Services, according to the Community Oncology Alliance.

In May 9 comments to CMS, the oncology provider organization takes issue with the agency’s claim that the proposed payment approach would help ensure that prescribing decisions are based on the value of treatments and

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