HHS Envisions Drug Price Arbitration For Part D

17 Apr 2015

Approaches for HHS to become involved in drug price negotiations between Medicare Part D plan sponsors and manufacturers were outlined by HHS Assistant Secretary for Planning and Evaluation Richard Frank at a policy conference, although current law would need to be revised to allow it.

HHS is exploring approaches to controlling specialty drug pricing in Medicare Part D through a process of binding arbitration, according to HHS Assistant Secretary for Planning and Evaluation Richard Frank.

The approach would involve HHS and drug manufacturers agreeing to accept the decision of an independent third-party arbitrator on the...