NCPA January 27, 2021
In a letter to the acting administrator of CMS, NCPA urged the agency to rescind the Most Favored Nations rule for Medicare Part B Drugs and Biologicals. A summary of the MFN model can be found here. NCPA asked CMS to work with NCPA and other stakeholders to identify more appropriate models to curb the cost of prescription drugs. NCPA comments highlighted concerns related to patient access, specifically creating a situation where pharmacists are unable to acquire MFN model drugs at prices commensurate with MFN model reimbursement. The letter also raised several legal concerns, which have led federal courts to block implementation of the MFN rule in three separate cases, each order effectively blocking the MFN rule from taking effect. These legal developments, in addition to the Regulatory Freeze Pending Review memo issued by the Biden administration on Jan. 20, mean that the MFN rule will not take effect in the short term.