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ARTICLE | Politics & Policy

HHS report finds Part D rebates not keeping up with rising drug prices

September 17, 2019 10:24 PM UTC

An HHS Office of the Inspector General report shows Medicare Part D rebates are not keeping up with rising prices for brand drugs.

The report examined 1,510 brand name Part D drugs that received rebates each year from 2011 to 2015. While total rebates during that time jumped from $9 billion to $17 billion, that wasn’t enough to stem growth in Part D drug spending. In 2015, Medicare spent $2 billion more on brand name drugs with rebates than in 2011, while total Part D reimbursement increased from $55 billion to $65 billion -- despite a 33% drop in prescriptions in 2011-15...