HHS Targets Drug Misclassification in Medicaid Rebate Program (1)

The Department of Health and Human Services moved to crack down on manufacturers and pharmacy benefit managers looking to do business under the Medicaid Drug Rebate Program.

A final rule (RIN: 0938-AU28) issued Friday contains provisions designed to strengthen oversight, reporting requirements, and transparency around drug product and pricing data in Medicaid. It also provides the Centers for Medicare & Medicaid Services with more authority to take corrective action when misclassification of drugs by pharmaceutical companies is discovered.

The drug rebate program helps make outpatient drugs more affordable for Medicaid enrollees. Under the program, drug manufacturers agree to provide ...