FDA issues emergency compounding guidance to address drug shortages due to recent hurricanes

By Ferdous Al-Faruque - Following the devastation caused by hurricanes in the US southeast, the Food and Drug Administration has issued an emergency temporary guidance for compounding pharmacies to address drug shortages caused by the natural disasters. Read Full Article…

HVBA Article Summary

1. Temporary Flexibility: FDA allows state-licensed pharmacies and outsourcing facilities to compound critical drugs without regulatory action during the hurricane-related public health emergency.

2. Addressing Drug Shortages: The guidance targets vital drugs impacted by hurricane damage, with FDA working to mitigate shortages while allowing unregistered facilities to help meet demand.

3. Conditions for Compounding: Pharmacies must meet specific criteria, such as using only drugs on the shortage list and notifying state authorities, to benefit from the temporary regulatory flexibility.

UnitedHealth Group Profits Eclipse $6 Billion As Cyberattack Costs Subside

By Bruce Japsen - UnitedHealth Group reported $6 billion in third quarter earnings thanks to its diversified portfolio of health insurance and medical care provider services that helped overcome costs of a cyberattack on its businesses earlier this year. Read Full Article…

HVBA Article Summary

1. Financial Performance: UnitedHealth reported $6.06 billion in net income and $9.0 billion in adjusted operating earnings, despite $475 million in cyberattack-related disruptions.

2. Cyberattack Impact: The February cyberattack on Change Healthcare disrupted billing systems but had a reduced impact on UnitedHealth's quarterly earnings compared to earlier in the year.

3. Business Growth: UnitedHealthcare added 2.4 million new customers, boosting revenue by $5 billion, while Optum saw a $7 billion revenue increase driven by Optum Health and Optum Rx.

Supreme Court takes up PBM case: Does ERISA preempt states' efforts to regulate drug prices?

By Allison Bell - The U.S. Supreme Court plans to look at states' ability to regulate pharmacy benefit managers this term. Read Full Article… ^{_{(Subscription required)}}

HVBA Article Summary

1. State vs. Federal Authority: Oklahoma’s insurance commissioner, Glen Mulready, is challenging an appeals court ruling that ERISA preempts state regulation of PBMs for self-funded employer health plans, arguing pharmacy regulation is traditionally a state concern.

2. ERISA Preemption: The PBM group, PCMA, contends ERISA preempts state laws that impact how employers structure benefit plans, aiming for uniformity to ease multistate compliance.

3. Legal and Political Support: Mulready has backing from 32 state attorneys general and healthcare groups, claiming PBMs lack transparency. PCMA argues that a prior ruling didn’t expand state authority over ERISA plans.

Recent Trends in Medicaid Outpatient Prescription Drugs and Spending

By Elizabeth Williams, Alice Burns, Robin Rudowitz, and Clea Bell - Managing the Medicaid prescription drug benefit and pharmacy expenditures is a long-standing policy priority for state Medicaid programs. Read Full Article… 

HVBA Article Summary

1. Rising Medicaid Drug Costs: Medicaid's net prescription drug spending rose 72% from FY 2017 to FY 2023, driven by high-cost specialty drugs like gene therapies.

2. Rebate Savings: Rebates cut Medicaid drug costs by over half, with greater savings in fee-for-service programs (61%) compared to managed care (44%).

3. Prescription Utilization Trends: Medicaid prescriptions grew only 3% from FY 2017 to FY 2023, with fewer prescriptions per enrollee, likely due to longer supply durations during the pandemic.

CVS Health to close or sell 29 stores, exit infusion services

By Paige Minemyer - CVS Health's Coram is discontinuing its infusion service offerings for antibiotics, inotropic medications, total parenteral nutrition and other acute home infusion therapies and plans to close or sell 29 regional pharmacies in the coming months, according to an Oct. 11 statement shared with Becker's. Read Full Article…

HVBA Article Summary

1. CVS Layoffs: CVS will lay off 632 employees starting Dec. 8, following a previous cut of 2,900 jobs in September, as part of a $2 billion cost-saving plan.

2. Coram Service Changes: CVS halted new patient referrals for Coram and will notify affected employees of potential layoffs in mid-November, with cuts expected in January.

3. New Hub Pharmacies: CVS will establish three national hub pharmacies to continue providing Coram's specialty medications and infusion services, maintaining in-home and suite care options.

3 ways employers can leverage technology to help boost employees' benefits engagement

By Sarah Thacker - As the technology landscape continues to evolve, some companies are increasing their digital footprint as an opportunity to differentiate themselves in the market, particularly when it comes to workplace benefits. Read Full Article… ^{_{(Subscription required)}}

HVBA Article Summary

1. Choose Tech-Focused Carriers
   Select carriers that use technology to streamline claims and enhance employee engagement, boosting satisfaction.

2. Use Decision-Support Tools
   Offer digital tools, including AI-driven options, to help employees make informed benefits choices and improve financial wellness.

3. Leverage Data for Program Improvement
   Regularly review participation and plan performance data with carriers to adjust offerings and keep employees engaged.

As AI Use Cases Grow in Healthcare, Executives Scramble to Grab the Reins

By Eric Wicklund - As healthcare organizations move swiftly to embrace AI, leadership is struggling to understand how to make sure governance isn’t pushed aside. Read Full Article…

HVBA Article Summary

1. AI Governance: Health systems are forming governance committees for AI, but there's no standard approach for their structure or membership.

2. Data and Vendors: Governance must ensure proper data management and address vendor-related issues, like using diverse datasets and handling AI errors.

3. Monitoring and Standards: AI governance requires continuous oversight, with industry groups likely to lead in setting evolving standards.