Wednesday, May 22, 2024

Why the IRA Will Encourage Part D Plans to Prefer High-List, High-Rebate Drugs (video)

In my recent Drug Channel Implications of the Inflation Reduction Act video webinar, I explained the intended and unintended consequences of the Inflation Reduction Act of 2022 (IRA) for the commercial market and drug channel participants.

In the video excerpt below, I walk through a mathematical example to show why the IRA will encourage Part D plans to prefer high-list, high-rebate specialty drugs, even as the government and manufacturers will prefer a low-list-price version. What’s more, a product with a maximum fair price (MFP) may also raise total costs for the healthcare system—despite the likely political posturing and spin.

If this clip whets your appetite for more, register to watch a replay of the full 90-minute video webinar from April.

Curious about the IRA will disrupt the 340B market? Then register for The 340B Drug Pricing Program: Trends, Controversies, and Outlook, a new live video webinar with Adam J. Fein, PhD. Click here to learn more and reserve your spot at the June 21 webinar.

Click here if you can’t see the video below.

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