STAT+: Sanofi plans to change payment terms for 340B hospitals

The battle over prescription drug discounts offered to hospitals under a federal program escalated as Sanofi became the third pharmaceutical company to disclose plans to change the way it will make payments.

In a letter sent to hospitals and clinics on Friday, Sanofi indicated that certain hospitals covered by the 340B Drug Discount Program would receive credits for medicines ordered at full price from a wholesaler. However, the credit would only be issued after the hospital or clinic submits claims data, including the prescription order, a patient’s hospital visit and dispensing information.

Under the program, which was created to help hospitals and clinics care for low-income and rural patients, drug companies that want to take part in Medicare or Medicaid must offer their medicines at a discount — typically, 25% to 50%, but sometimes higher — to participating hospitals and clinics. Right now, drug companies generally provide the discounts at the time of purchase.

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