On April 18, 2019, the President signed the Medicaid Services Investment and Accountability Act into law, which includes the Right Rebate Act. The Right Rebate Act was originally introduced in response to information uncovered during public hearings regarding a pharmaceutical manufacturer’s pricing of their products that treat severe allergic reactions in 2016. During these hearings, policymakers learned that the drug maker was wrongfully classifying its brand product as a generic instead, which allowed the company to avoid paying rebates to state governments under the Medicaid Drug Rebate Program (MDRP). Companies engaging in this practice will now be subject to penalties equal to up to twice the amount of the rebates that were avoided. Aimed Alliance supports this new law because it will rein in unfair and harmful pricing behavior by pharmaceutical manufacturers. Continue reading.
Last Updated on May 14, 2020 by Aimed Alliance
