New Bill Aims to Make Sure Medicare Customers Get Drug Discounts

A new House bill mandates the application of discounts for drugs in Medicare's prescription drug program when the medications are purchased at the pharmacy, to ensure customers get the full discount instead of some of the money going to insurers and drug intermediaries, reports the Washington Examiner . The Phair Pricing Act of 2018 is built on a platform released by President Trump, highlighting little transparency in the negotiations over rebates to reduce prices for drugs in Medicare Part D. "Pharmacy benefit managers PBMs maneuver in the shadows to block savings from reaching the beneficiaries who depend on them to afford their medications," said bill cosponsor Rep. Doug Collins (R-Ga.). The legislation would direct "all price concessions, incentive payments, and price adjustments" to be included when a senior purchases the medication from the pharmacy. "The bill brings transparency to a notoriously complex industry by compelling PBMs to disclose concessions and programs that they employ," states an official release. U.S. Department of Health and Human Services Secretary Alex Azar has intimated that the Trump administration could rescind rebate agreements for Medicare drugs and instead set fixed price discounts applied at the point of sale.