A primer on brand-name prescription drug contracting

James T Kenney; Shellie Keast

doi:10.18553/jmcp.2024.24035

A primer on brand-name prescription drug contracting

J Manag Care Spec Pharm. 2024 May;30(5):507-513. doi: 10.18553/jmcp.2024.24035. Epub 2024 Apr 23.

Authors

James T Kenney¹, Shellie Keast²

Affiliations

¹ JTKENNEY, LLC, Waltham, MA.
² Independent Contractor, Oklahoma City, OK.

Abstract

Prescription drug contracting in the United States has evolved over decades from discounts provided to members of early health maintenance organization plans to rebate contracts to more complex value-based purchasing arrangements. This primer describes the history of contracting between pharmaceutical manufacturers and managed care pharmacy organizations and details the various contracting methods used today.

MeSH terms

Contracts
Drug Industry* / economics
Humans
Managed Care Programs / economics
Pharmaceutical Services / economics
Pharmaceutical Services / organization & administration
Prescription Drugs* / economics
United States

Substances

Prescription Drugs

Grants and funding

The Managed Care Pharmacy Primer Series is supported by the Academy of Managed Care Pharmacy (AMCP), the AMCP Foundation, and the Judith A. Cahill Memorial Fund.