Lilly
Lilly has asked a 340B covered entity to promptly repay it for “duplicate 340B/Medicaid discounts."

Lilly Asks Covered Entity to Promptly Repay “Duplicate 340B/Medicaid Discounts”

Drug manufacturer Eli Lilly asked a 340B covered entity last week to promptly repay it for “duplicate 340B/Medicaid discounts” and evaluate all Lilly prescriptions that it or its contract pharmacies dispensed for the last three years.

Consultants and attorneys with expertise on 340B duplicate discounts said such a request would be unorthodox if the rebates involved Medicaid managed care. The Centers for Medicaid & Medicaid Services issued guidance in 2016 instructing states—not covered entities—to implement processes to ensure that states and their Medicaid managed care contractors prevent duplicate discounts. More than 70% of Medicaid beneficiaries nationally are enrolled in managed care plans. Covered entities however are responsible for preventing duplicate discounts in Medicaid fee for service.

Drug manufacturer Eli Lilly asked a 340B covered entity last week to promptly repay it for “duplicate 340B/Medicaid discounts” and evaluate all Lilly prescriptions that it or its contract pharmacies dispensed for the last three years. Consultants and attorneys with […]

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