Drug Companies Will Be Fined for Overcharging 340B Hospitals

Modern Healthcare reported on the final rule released by the Department of Health and Human Services’ Health Resources and Services Administration regarding the 340B Drug Pricing Program. “Drug companies must reimburse providers that overpaid for products and they are subject to fines of up to $5,000 per instance if they overcharged ‘knowingly and intentionally.’” The rule was released January 4, 2017 after being initially released for comment in 2015. Along with the fines the rule will also “also establishes a system for calculating ‘ceiling prices’ for covered outpatient drugs.”