Pharmaceuticals & Biotech

Exploring the evolution of 340B contract pharmacy policies

By Ricky Yuen, Nicholas Porter, Shreya Bhatia, Harshil Gagnani , and Neelabh Saxena

June 6, 2024 | White Paper | 11-minute read

Exploring the evolution of 340B contract pharmacy policies

The 340B Drug Pricing Program has grown significantly over the past several years, leading to gross-to-net erosion for the pharmaceutical industry. Some of the program’s growth has been unintended: Watchdogs have reported numerous instances of duplicative discounts, “double dipping” and diversion of drugs to ineligible patients. Indecision from the Health Resources and Services Administration—the program’s regulating authority—has prompted many pharma companies to enact greater controls over their 340B distribution.

States have responded in turn with legislation, producing a complex policy landscape that has posed major challenges for both manufacturers and providers. As of May 2024, six states have barred manufacturers controls over the 340B program, and 20 states have similar legislation pending.

Download this white paper to:

  • Learn how pharma and state policy responses have evolved in recent years
  • Understand how successful these responses have been
  • Get recommendations for how pharma can address 340B policy to stay ahead in this dynamic landscape

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