NJ residents get comparison tool for drug prices
By: Scott Fallon
NorthJersey.com
USA Today Network - New Jersey
..... New Jerseyans will soon get an inside view on how much their prescription drugs cost for wholesalers, those with insurance and people paying out of pocket under new state rules that are intended to keep price increases low, officials said Wednesday. [10/16/2024]
.....
The new rules took effect Tuesday [10/15/2024] and requires those involved in drug creation and distribution to supply key pricing data that will be published on a public website run by the state Division of Consumer affairs.
..... If all of that data is reported, it will show how a drug is priced at every stage form the time it leaves a manufacturing plant to when a pill bottle is handed to a patient from a pharmacist.
..... The new rules come as drug prices in the U.S. from generic to brands are almost three times higher as the same products in comparison countries, a report by the federal government found this year. [2024]
..... Whether increased transparency will help keep prices in check remains to be seen. Similar efforts in recent years requiring hospitals to publish procedure costs have had mixed results in pricing.
..... Pricing data will "help us identify factors t6hat contribute to the high cost of prescription drugs and improve oversight of the drug industry to the benefit of New Jersey consumers," Cari Fais, acting director of the Division of Consumer Affairs, said in a statement.
..... The new rules require different information from different entities in the pharmaceutical supply chain. Among them:
* Manufacturers are required to report all price increases and the launch prices of new drugs in New Jersey.
* Insurance carriers in New Jersey that offer a prescription drug benefit have to report spending of their top 25 prescription drugs and certain drug groups, and how that impacts insurance premiums.
* Pharmacy services administrative organizations will report negotiated reimbursement rates.
* Pharmacy benefits managers and wholesalers must report proofing, volume and discount informations based on the drug information provided by all the other groups.