Oklahoma Medicaid Policy Could Create Bigger Rx Rebates

Oklahoma has a federal green light for a new kind of Medicaid drug arrangement that could bring the state more money.

The federal Centers for Medicare & Medicaid Services said June 27 it approved Oklahoma’s value-based supplemental rebate agreement (SRA) language to the state’s Medicaid plan. This permits the state to negotiate with manufacturers about value-based drug agreements.

Value-based drug agreements allow insurers to pay for the cost of a drug based on how effective the drug is. If clinical outcomes aren’t achieved, the state could get extra rebates, the federal agency said in a statement. It’s the first approval ...