Independent Community Pharmacists Document Underpayment for Generic Drugs by PBM Corporations

July 20, 2015

The National Community Pharmacists Association (NCPA) (7/20) has “compiled new evidence to further substantiate the need for federal sunshine legislation (H.R. 244, the MAC Transparency Act) for more insight into below-cost reimbursements from PBM corporations that do not keep pace with rising market costs for generic prescription drugs.” NCPA members provided examples of the costs they incurred to acquire drugs versus the reimbursement they received. NCPA staff will share finding with the U.S. House of Representatives to garner support for H.R. 244. “Independent community pharmacies should not be consistently underpaid for the products and services they offer,” says NCPA CEO B. Douglas Hoey. “Unfortunately, the ‘buy high-sell low’ dynamic has regrettably become commonplace for these small business health providers, who absorb financial losses for many generic drugs because PBM corporations do not disclose reimbursement benchmarks to either pharmacies or the plan sponsors who hire them, and fail to react adequately to acquisition costs that can soar by as much as 1,000%, virtually overnight.”