Quick Takeaways Series by NOVEL Health Strategies. This presentations provides a summary of new report on Medicare, Medicaid and DOD drug reimbursement prices. For more information contact: Saurabh (Rob) Aggarwal at sa2@novelhealthstrategies.com or visit us at www.novelhealthstrategies.com

1. MEDICARE
MEDICAID
AND
DOD
DRUG
PRICES
Quick
Takeaways
Series

2. Background
✪ In
2011,
federal
spending
for
prescription
drugs
in
Department
of
Defense
(DOD),
Medicaid,
and
Medicare
Part
D
programs
was
a
combined
$71.2
billion
✪ This
is
85
percent
of
all
federal
prescription
drug
expenditures—for
approximately
114.4
million
beneficiaries

3. Key
Takeaways
Medicaid
paid
the
lowest
average
net
prices
compared
to
prices
paid
by
the
Department
of
Defense
(DOD)
and
Medicare
Part
D

4. Beneficiary-­‐Paid
Amounts,
Post-­‐Purchase
Price
Adjustments,
and
Average
Net
Unit
Prices
for
the
Sample
Drugs
Q3
2010

5. Range
of
Rebates
for
Brand
Name
Drugs
Program
Rebate
Medicare
Part
D
19%
DOD
39%
Medicaid
62%

6. Nexium
and
Plavix
are
Top
Drugs
in
DOD
Medicare
and
Medicaid
Programs

7. www.NOVELHealthStrategies.com
+1-202-618-9365
sa2@novelhealthstrategies.com
Saurabh (Rob) Aggarwal, PhD
Principal, NOVEL Health Strategies