Inflation rebates: CMS lays the ground rules for pharma compliance
The Centers for Medicare and Medicaid Services this afternoon unveiled its first tranche of guidance on how drug companies will comply with new mandatory rebates — if they raise the prices for certain drugs faster than the rate of inflation.
While industry has set the vast majority of its price increases below 10% in recent years, this new provision will likely lead to even smaller increases to avoid the rebates.
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