tci Medicare Compliance & Reimbursement - 2005 Issue 45

PHARMACEUTICALS: Inhalation Drug Therapy Fee Falls To CMS Knife

Care management activities not part of Medicare benefit, agency says.In a move that left respiratory drug providers gasping, the Centers for Medicare and Medicaid Services has cut the monthly dispensing fee for nebulized inhalation drugs by more than 40 percent starting Jan. 1. The decision will reduce inhalation drug therapy providers' revenues and may even force some to close up shop, industry insiders say.CMS on Nov. 2 announced it would reduce the monthly dispensing fee for inhalation drugs in 2006 from $57 per monthly supply to $33 after the first month, in which the fee will...

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