Incorporating Pharmacy Spending In Value-Based Payment Models Remains Challenging

Various government and private payer initiatives are good steps forward, but lack coordination. Payers continue to face perverse incentives to use high-cost drugs because of rebates in 340B, while providers don’t have enough incentives to use cost-saving clinical decision tools.

medicine with money and red graph
Involving specialists in ACOs could help reduce spending, an NAACO representative said. • Source: Shutterstock

Payers face challenges incorporating drug spending into value-based payment models, making it difficult to reduce overall health care costs, according to panelists who participated in a session at the recent Value-Based Payment Summit.

Key Takeaways

  • Various government and private payer initiatives are good steps forward on accountable care, but will not be as effective as possible because of a lack of coordination.

The speakers were encouraged by the increased attention being paid to expensive medications and difficulties in ensuring people take their...

Pink Sheet Podcast

Learn what's happening at the US FDA. On the go.

Derrick Gingery and the team bring you a weekly "Drug Fix".

More from Market Access

More from Pink Sheet