Navigation Links
Lawsuit Challenges Iowa Health Mandate that Forces Employers to Pay More for Prescription Drugs
Date:9/2/2014

WASHINGTON, Sept. 2, 2014 /PRNewswire-USNewswire/ -- The Pharmaceutical Care Management Association (PCMA), the national association representing America's pharmacy benefit managers (PBMs), today filed a lawsuit in Iowa federal court challenging a sweeping new Iowa law that restricts tools used by PBMs to lower prescription drug costs for the state's employers and consumers. 

The law—HF 2297—forces PBMs to overpay for generic drugs by severely restricting the use of Maximum Allowable Cost (MAC) lists that keep generic drug costs reasonable.  PBM customers, like employers and public programs, rely on MAC lists to prevent overpayments to drugstores.  Specifically the new law:

  • Forces employers, unions and public programs to pay drugstores more for certain drugs.
  • Makes it harder to reduce drug benefit costs when less expensive generics come to market.
  • Entitles drugstores to extra "retroactive" payments if they claim past reimbursements weren't large enough.

"This mandate forces Iowa employers, unions and public programs to pay drugstores above-market rates. It's a giveaway to the drugstore lobby that will raise Iowa's prescription drug costs by $55 million a year with no upside," said PCMA President and CEO Mark Merritt.

MAC lists are widely used by health plans and PBMs to reduce costs for private-sector clients, union health and welfare funds, Medicaid and Medicare Part D.  Forty-five state Medicaid programs now use MAC lists, up from 26 states in 1999. 

PCMA represents the nation's pharmacy benefit managers (PBMs), which improve affordability and quality of care through the use of electronic prescribing (e-prescribing), generic alternatives, mail-service pharmacies, and other innovative tools for 216 million Americans.

Follow PCMA on Twitter


'/>"/>
SOURCE Pharmaceutical Care Management Association (PCMA)
Copyright©2014 PR Newswire.
All rights reserved

Related medicine technology :

1. da Vinci Lawsuit Settlement Funding Amounts Increased at Legal-Bay Funding
2. Rigrodsky & Long, P.A. Announces A Securities Fraud Class Action Lawsuit Has Been Filed Against Lannett Company, Inc.
3. Hill-Rom and GE Reach Settlement in Patent Infringement Lawsuit
4. As Morcellator Lawsuits Mount, Bernstein Liebhard LLP Notes Report Detailing Alternatives to Uterine Morcellation
5. Lawsuit Settlement News Website Reports Update on Risperdal Litigation Due to Increase of Filed Cases
6. Valeant Pharmaceuticals And Pershing Square Respond To Frivolous Allergan Lawsuit
7. Cynosure Announces Successful Settlement of Patent Infringement Lawsuits Against Tria Beauty
8. Byetta Lawsuit News: Bernstein Liebhard LLP Notes Approval of Master Complaint in Federal Byetta Pancreatic Cancer Litigation
9. Family Talk Files Lawsuit Challenging Obamas Abortion Pill Mandate
10. Lipitor Lawsuit News: As Lipitor Diabetes Lawsuits Move Forward, Bernstein Liebhard LLP Comments on JAMA Editorial Expressing Concern about the "Statinization" of U.S.
11. As Da Vinci Robot Lawsuits Mount, Bernstein Liebhard LLP Comments on Latest Da Vinci Robot Instrument Recall
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:10/11/2017)... , Oct. 11, 2017  Hill-Rom Holdings, Inc. ... Aspen Surgical facility in Las Piedras, Puerto ... scalpels and blades. ... that the facility sustained minor structural damage, temporary loss ... Maria. Repairs have been completed, manufacturing operations have resumed, ...
(Date:10/5/2017)... , Oct. 5, 2017  In response ... of Oral and Maxillofacial Surgeons (AAOMS) released prescribing ... – to be used as a first-line therapy ... Recognizing the ... AAOMS White Paper "Opioid Prescribing: Acute and Postoperative ...
(Date:10/2/2017)... Mich. , Oct. 2, 2017 Diplomat ... 8th Day Software and Consulting, LLC , and ... 8th Day Software, based in Tennessee ... LLC. 8th Day expands EnvoyHealth,s service offerings for health ... development. "In an ...
Breaking Medicine Technology:
(Date:10/13/2017)... Rock, AR (PRWEB) , ... October 13, 2017 ... ... firm with locations throughout Arkansas that offers insurance and financial preparation services, is ... benefit the Rock City Rescue organization. , Rock City Rescue is a locally ...
(Date:10/13/2017)... Pekin, IL (PRWEB) , ... October 13, 2017 ... ... Foundation, which established the certification process to promote standards of excellence for the ... iaedp™ Symposium, scheduled for March 22 – 25, 2018 in Orlando, Florida at ...
(Date:10/13/2017)... ... 2017 , ... Apple Rehab Shelton Lakes , which specializes in the ... facility as part of a disaster drill on October 3rd. , Apple Rehab participated ... Emergency Manager, as well as the Connecticut Long Term Care Mutual Aid Plan ...
(Date:10/13/2017)... ... October 13, 2017 , ... Global Healthcare Management’s 4th Annual ... in Milford, NJ. This free event, sponsored by Global Healthcare Management’s CEO, Jon ... fun run is geared towards children of all ages; it is a non-competitive, non-timed ...
(Date:10/13/2017)... ... 13, 2017 , ... “The Journey: From the Mountains to the Mission Field”: ... souls in the Philippines. “The Journey: From the Mountains to the Mission Field” is ... Bible. She has taught all ages and currently teaches a class of ladies at ...
Breaking Medicine News(10 mins):