Analysis of Medicare Part D Plans Shows $9B Upcharge
According to the Drug Pricing Lab analysis, The Wall Street Journal published an article showing $9.1 billion retained by insurers over the course of 9 years from Medicare Part D plans.
From 2006-2015, insurers retained $9.1 billion in excess taxpayer funds as a result of consistent overestimates in bids to the Centers for Medicare and Medicaid (CMS).
"If those big insurers were aiming to submit accurate bids, the probability that they would have overestimated costs so frequently and by such a large amount is less than one in one million, according to a statistical analysis done for the Journal by researchers at Memorial Sloan Kettering Cancer Center, who study pharmaceutical pricing and reimbursement."
Read the full article here.