Incorporating Pharmacy Spending In Value-Based Payment Models Remains Challenging

Various government and private payer initiatives are good steps forward, but lack coordination. Payers continue to face perverse incentives to use high-cost drugs because of rebates in 340B, while providers don’t have enough incentives to use cost-saving clinical decision tools.

medicine with money and red graph
Involving specialists in ACOs could help reduce spending, an NAACO representative said. • Source: Shutterstock

Payers face challenges incorporating drug spending into value-based payment models, making it difficult to reduce overall health care costs, according to panelists who participated in a session at the recent Value-Based Payment Summit.

Key Takeaways
  • Various government and private payer initiatives are good steps forward on accountable care, but will not be as effective as possible because of a lack of coordination.

The speakers were encouraged by the increased attention being paid to expensive medications and difficulties in ensuring people take their...

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