Trends in Proportion of Medicare Part D Claims Subject to 340B Discounts, 2013-2020

Author:

Dickson Sean1,Gabriel Nico2,Hernandez Inmaculada2

Affiliation:

1. West Health Policy Center, Washington, DC

2. Division of Clinical Pharmacy, Skaggs School of Pharmacy and Pharmaceutical Sciences, University of California, San Diego, La Jolla

Abstract

ImportanceDespite controversy surrounding the 340B program, no study has analyzed trends in the proportion of Medicare Part D pharmacy claims eligible for 340B discounts.ObjectiveTo describe trends in the proportion of Medicare Part D claims that are prescribed by 340B-affiliated clinicians and filled in 340B pharmacies.Design and SettingThis longitudinal, retrospective cohort study included 2013 to 2020 claims data from a 5% random sample of Medicare Part D beneficiaries from the Centers for Medicare & Medicaid Services and 6292 nine-digit national drug codes that were used by at least 1000 Part D beneficiaries in a given year. Data analysis was completed from November 2022 to April 2023.Main Outcomes and MeasuresFor each drug and year, there were 3 outcomes: (1) proportion of total Part D claims that were prescribed by a 340B-affiliated clinician; (2) proportion of claims prescribed by a 340B-affiliated clinician that were filled in a 340B pharmacy; and (3) proportion of total Part D claims under the 340B program (ie, prescribed by a 340B-affiliated clinician and filled in a 340B pharmacy).ResultsThe proportion of prescriptions written by a 340B-affiliated clinician doubled from 9.4% in 2013 to 19.3% in 2020. The capture of 340B prescriptions by 340B pharmacies, defined as the proportion of claims prescribed by 340B-affiliated clinicians that were filled by 340B pharmacies, increased from 18.4% in 2013 to 49.9% in 2020. As a result, the total proportion of 340B claims in Part D increased from 1.7% in 2013 to 9.6% in 2020. Rates of 340B prescribing and capture increased consistently across therapeutic classes. In 2020, the antiviral therapeutic class was the class with the largest proportion of 340B claims (16.1%), followed by targeted antineoplastics (15.7%).Conclusions and RelevanceThis cohort study demonstrated that from 2013 to 2020, the share of Medicare Part D claims prescribed by a 340B-affiliated clinician increased; however, the rate at which 340B-eligible prescriptions were filled at 340B pharmacies increased at a faster rate, driving the overall increase in 340B claims. Despite these trends, only half of 340B-eligible prescriptions were subject to the 340B discount in 2020.

Publisher

American Medical Association (AMA)

Subject

Public Health, Environmental and Occupational Health,Health Policy

Reference51 articles.

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2. 30 years of 340B: preserving the health care safety net.;Waxman;Health Aff,2022

3. Association between the percentage of US drug sales subject to inflation penalties and the extent of drug price increases.;Dickson;JAMA Netw Open,2020

4. Consequences of the 340B Drug Pricing Program.;Desai;N Engl J Med,2018

5. Access to the 340B Drug Pricing Program: is there evidence of strategic hospital behavior?;Mulligan;BMC Res Notes,2021

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