Navigation Links
OIG Report Confirms Dangerously Thin Margins for Community Pharmacy
Date:1/15/2008

Acquisition Costs and Dispensing Fees Yield a Mere 1.3% Profit Margin

ALEXANDRIA, Va., Jan. 15 /PRNewswire-USNewswire/ -- The Office of the Inspector General of the Department of Health and Human Services released a "Review of the Relationship Between Medicare Part D Payments to Local, Community Pharmacies and the Pharmacies' Drug Acquisition Costs." In response Bruce Roberts, RPh, executive vice president and CEO of the National Community Pharmacists Association (NCPA), issued the following statement:

"While the report acknowledges that it does not account for all costs of dispensing prescriptions, we applaud the work of the OIG in confirming the financial difficulties Part D has placed on community pharmacy. Its estimate that local community pharmacies received an average Part D dispensing fee of $2.27 per prescription reinforces our position that community pharmacies are not adequately reimbursed for the costs of dispensing drugs. When you also consider the slow rate of reimbursement, as evidenced by a recent University of Texas study, pharmacists may be forced to close their doors, or stop participating in these government programs and patient access to the medicines they need will be seriously threatened."

In the report, the OIG estimates that the difference between Part D payments and drug acquisition costs is $9.13 per prescription including wholesaler rebates, which are not received by every pharmacy. With the $2.27 dispensing fee, the compensation to pharmacies then averages $11.40 per prescription. The recent study by the accounting firm Grant Thornton found that the average cost to dispense a prescription drug is $10.50, yielding 90 cents, on average, per Medicare prescription. With an average prescription price of $68.26, this nets a mere 1.3% net profit margin.

The National Community Pharmacists Association, founded in 1898, represents the nation's community pharmacists, including the owners of more than
'/>"/>

SOURCE National Community Pharmacists Association
Copyright©2008 PR Newswire.
All rights reserved

Page: 1 2

Related medicine news :

1. Study Finds Doctors Not Reporting Medical Mistakes
2. Health care reform and 2008 elections: New reports examine candidates plans, publics views
3. Synutra International, Inc. Amends August 2005 Current Report on Form 8-K and Annual Report on Form 10-K for the Fiscal Year Ended March 31, 2007
4. Simple online methods increase physician disease reporting
5. USA TODAY to Report Special Series "Turning 62: The Retirement Boom Begins"
6. 10-fold life span extension reported in simple organism
7. Consumer Reports Health News
8. American Lung Association Report Gives Illinois Mixed Grades
9. Crdentia Appoints Debbie Griffith to Director of Business Development, Reporting Directly to CEO
10. Federal Government Receives Failing Grades on Tobacco Control in Annual American Lung Association Report
11. Physicians Want to Learn From Medical Mistakes But Say Current Error-Reporting Systems are Inadequate
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:8/28/2014)... York (PRWEB) August 28, 2014 An unprecedented ... and neck issues, Cloud 9 Spine offers their resources online ... problems can quickly become a brick wall of discouragement as ... a professional opinion, Cloud 9 Spine offers a ... technology merged with human interaction that sets Cloud 9 Spine ...
(Date:8/28/2014)... 28, 2014 Top 10 Best ... hosting companies and announces Bluehost, HostMonster ( http://www.hostmonster.com/track/seohosts ... for the webmasters worldwide who want to buy ... As the world’s most popular server-side scripting language, ... other general-purpose programs. It is now installed on ...
(Date:8/28/2014)... Now in its 4th year, Step ... 2011 by two brain aneurysm survivors. The ongoing mission of ... education to help increase early detection and to help support ... aneurysm. We hope that you will be able to join ... 4th Annual Step for Hope Run/ Walk on Saturday, September ...
(Date:8/28/2014)... CA (PRWEB) August 28, 2014 MarijuanaDoctors.com ... California physician, James Patel M.D. of Livermore, California. As ... best and most qualified physicians, and in accordance with ... our patients to Dr. Patel’s practice. , Initially finding ... a young age, Dr. Patel was shaped by his ...
(Date:8/28/2014)... 28, 2014 The Pulmonica is a ... resonant, meditative sounds that can be felt vibrating in ... to use it – just taking long, slow, deep ... , Here are some examples of how to ... your eyes, relax, and maintain good posture. Try to ...
Breaking Medicine News(10 mins):Health News:Making Waves on the East Coast, Cloud 9 Spine is Helping Patients Find Appointments With Local Spine Doctors 2Health News:Step for Hope and Raise Brain Aneurysm Awareness 2Health News:Army Colonel Dr. James Patel Joins the Medical Marijuana Industry 2Health News:Army Colonel Dr. James Patel Joins the Medical Marijuana Industry 3Health News:Army Colonel Dr. James Patel Joins the Medical Marijuana Industry 4Health News:Ever Thought of Meditating With a Harmonica; Harmonica Techs, Inventors of the Pulmonica® Pulmonary Harmonica®, Present Tips on How to Relax with Soothing Sounds 2
... favor of drugs in the pipeline, review finds , ... of drug studies published in major medical journals answer ... available medications works best for a particular condition. , ... effectiveness" studies, where experts seek to determine which available ...
... more than 80,000 who gave one up shows procedure carries ... a kidney carries few health risks, with donors living just ... donate, the largest study to date of donors has found. ... who donated a kidney between 1994 and 2009, researchers found ...
... ... ... ... ...
... , ... ... ... ...
... ... ... ... ...
... a certain type of genetic susceptibility to lung cancer ... with even a small exposure to cigarette smoke, a ... Cincinnati (UC) has concluded. For family members who carry ... similar for both light and heavy smokers, the researchers ...
Cached Medicine News:Health News:Most Drug Studies Don't Help Docs Pick Best Treatment 2Health News:Most Drug Studies Don't Help Docs Pick Best Treatment 3Health News:Kidney Donors Go On to Lead Long, Healthy Lives 2Health News:Kidney Donors Go On to Lead Long, Healthy Lives 3Health News:Introducing KePRO(TM) Engage Health - A Revolutionary Wellness & Lifestyle Management Company 2Health News:Introducing KePRO(TM) Engage Health - A Revolutionary Wellness & Lifestyle Management Company 3Health News:Introducing KePRO(TM) Engage Health - A Revolutionary Wellness & Lifestyle Management Company 4Health News:Introducing KePRO(TM) Engage Health - A Revolutionary Wellness & Lifestyle Management Company 5Health News:Online Tool Created to Contact Vatican Officials: 'Why Are American Bishops Allowed to Defy the Pope's Words Concerning Child Killing and the Eucharist?' 2Health News:Online Tool Created to Contact Vatican Officials: 'Why Are American Bishops Allowed to Defy the Pope's Words Concerning Child Killing and the Eucharist?' 3Health News:Online Tool Created to Contact Vatican Officials: 'Why Are American Bishops Allowed to Defy the Pope's Words Concerning Child Killing and the Eucharist?' 4Health News:Online Tool Created to Contact Vatican Officials: 'Why Are American Bishops Allowed to Defy the Pope's Words Concerning Child Killing and the Eucharist?' 5Health News:GoodTherapy.org and PsychCentral.com Partner to Help Therapy Seekers Find a Therapist 2Health News:GoodTherapy.org and PsychCentral.com Partner to Help Therapy Seekers Find a Therapist 3Health News:GoodTherapy.org and PsychCentral.com Partner to Help Therapy Seekers Find a Therapist 4Health News:GoodTherapy.org and PsychCentral.com Partner to Help Therapy Seekers Find a Therapist 5Health News:GoodTherapy.org and PsychCentral.com Partner to Help Therapy Seekers Find a Therapist 6Health News:Genetic variant greatly increases lung cancer risk for light smokers 2
(Date:8/27/2014)... , Aug. 27, 2014 Kewaunee Scientific Corporation ... of Directors increased its quarterly cash dividend by 9% ... per outstanding share, beginning with the dividend payable on ... close of business on September 8, 2014. ... in 1906, Kewaunee Scientific Corporation is a recognized global ...
(Date:8/27/2014)... -- Columbia Laboratories, Inc. (Nasdaq: CBRX ) ("Columbia" ... trial manufacturing, and advanced analytical and consulting services to ... at the upcoming Rodman & Renshaw 16 th ... New York . The Company will present ... at the New York Palace Hotel. ...
(Date:8/27/2014)... and NINGBO, China , Aug. ... Ningbo Menovo Pharmaceutical Co., Ltd, ("Menovo") today announced they ... of generic pharmaceuticals, primarily targeting the United ... agreement, Amerigen and Menovo will jointly develop products for ... . Menovo will be responsible for manufacturing API ...
Breaking Medicine Technology:Amerigen Pharmaceuticals Limited and the Ningbo Menovo Pharmaceutical Co., Ltd, today announced they had entered into a collaboration agreement regarding the development of generic pharmaceuticals, primarily targeting the United States market 2
... N.J., Feb. 15, 2011 Daiichi Sankyo, Inc. (DSI), ... facility in Bethlehem Township, Pennsylvania from Amcor, a global ... leverage existing resources to more cost-effectively supplement its operations ... expected to be operational in the summer or early ...
... MAHWAH, N.J., Feb. 15, 2011 Stryker Corporation,s Orthopaedics ... most recognizable names and personalities in professional golf, has ... of the sport and current member of the PGA ... Triathlon ® Knee System in November 2009 and ...
Cached Medicine Technology:Daiichi Sankyo, Inc. Acquires First US-Based Packaging and Manufacturing Facility 2Fred Funk Becomes Spokesperson for Stryker Orthopaedics 2Fred Funk Becomes Spokesperson for Stryker Orthopaedics 3
... The SourceLink™ Delivery System offers a ... It addresses the challenges associated with ... provides the flexibility of seed and ... packaged per customers desired quantity and ...
... The Bard EXPRESS Seeding Cartridge System is ... delivering radioactive seeds and spacers into a ... Each cartridge has a(n): outer radiation safety ... synthetic absorbable spacers, integrally molded fitting that ...
... The Sysmex UF-100 is designed to ... microscopic analysis. It combines the superior ... automated urine sample analysis. Continuous sampling ... the rack-based autosamplers, streamlining sample processing in ...
... Q-Track II Holter Monitoring System uses technology ... the worlds first true 12-lead digital Holter ... of any beat contained in the 24-hour ... ,The preprocessing work done by the Q-12 ...
Medicine Products: