State receives first reports on diabetes drug costs; questions remain over what will be publicly

[TexasTowelie]

State receives first reports on diabetes drug costs; questions remain over what will be publicly disclosed


Nearly 20 drug manufacturers and pharmacy benefit managers submitted reports to the state detailing the costs of manufacturing and distributing diabetes drugs in advance of a Tuesday deadline, and state officials continue to comb through others received this week as they prepare to undertake their first examination of the factors contributing to the costs of treating Nevadans with diabetes.

Division of Public and Behavioral Health Administrator Julie Kotchevar said that drug companies and pharmacy benefit managers, or PBMs, have been “really working hard to be compliant” with the new annual reporting requirements created as a result of legislation passed during the 2017 session. For the first time this week, drug companies and PBMs — third party administrators who are the go-between for manufacturers, insurers and pharmacies — were required to submit reports to the state explaining the costs associated with essential diabetes drugs and, for some, why the costs of those drugs increased significantly over the prior year.

Kotchevar said that state officials are reviewing and processing submissions they received from drug manufacturers and PBMs to be compared against a list of all companies required to submit reports to the state. Once the state identifies which companies have yet to report, it will contact them to ensure they are aware of the requirements and are working toward compliance before levying the $5,000 a day fine allowed by law for noncompliance, she said.

“We have had some hiccups. We’re all learning from them,” Kotchevar said. “But we haven’t had anyone who’s said, ‘No, we’re not going to do it. Fine us.’”

Read more: https://thenevadaindependent.com/article/state-receives-first-reports-on-diabetes-drug-costs-questions-remain-over-what-will-be-publicly-disclosed