Medicare Drug Rebate Challenges for HHS Trigger Watchdog Caution

The Centers for Medicare & Medicaid Services should take action to avoid several administrative challenges in implementing new prescription drug rebates under the Inflation Reduction Act of 2022, a government watchdog agency said Tuesday.

In a technical assistance brief, the Department of Health and Human Services’ Office of Inspector General offered several solutions to address potential problems that could arise as officials implement the IRA, which directs drug manufacturers to pay quarterly rebates to the HHS for certain drugs covered under Medicare’s outpatient “Part B” coverage. Rebates are owed by manufacturers if the Part B price of their drug ...