Assessing the future basis of drug pricing

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By Frank R. Kopenski | 01 February 2009

This white paper outlines problems the healthcare industry has experienced with using average wholesale price (AWP) for determining medication reimbursement levels. Our expert examines two possible pricing methods that might replace AWP—average sales price and average manufacturer price. Studies showed the two newer methods yielded fairly similar prices. Average sales price shows promise as it is accepted by Medicare, but neither alternative can move forward until current litigation is resolved.