New Study Finds DIR Fees Increased 1,600% in Last 5 Years; Drug Channels Article Highlights Enormous Increases in Fees in 2019

Feb 24, 2020
XIL Consulting Study on DIR Fees
Last week, the National Community Pharmacists Association (NCPA) shared a new study published by XIL Consulting showing how DIR fees charged by PBMs are negatively impacting pharmacies and patients.  The analysis reviews CMS data and finds that pharmacy DIR fees have skyrocketed by 1,600% in the last 5 years ($8.5B since 2013).  This new study is an interesting analysis that was published by a former Express Scripts executive and can serve as a resource for pharmacists when educating lawmakers about the need for DIR fee reform.
Below are links to NCPA’s press release and social media communications about this new study:
Drug Channels Article Says DIR Fees now 18% of Total Medicare Part D Rebates
Drug Channels author and health care expert Adam Fein published an article that reviews how pharmacy DIR fees reached $9.1B in 2019, reflecting approximately 18% of total Medicare Part D rebates are paid by pharmacies.  Dr. Fein concludes his perspective by encouraging readers to keep an eye on Senate Finance drug pricing legislation that contains provisions Good Neighbor Pharmacy (GNP) and Elevate have long advocated for to reform DIR fees.
The DIR Fee Reform Pharmacy Coalition in Washington, DC, including NCPA, NACDS, NASP and APhA, continues to advocate for DIR fee reform in 2020, and our government affairs team is coordinating with the coalition to support their efforts on Capitol Hill.  GNP, ABC & Elevate will participate in several upcoming pharmacy trade association meetings on Capitol Hill in March and April to encourage Congress to advance pro-pharmacy legislation, including reforming retroactive DIR fees in 2020.