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Senate Co-Sponsorship Memoranda
Senate of Pennsylvania
Session of 2023 - 2024
Regular Session
MEMORANDUM
| Posted: | May 16, 2024 03:13 PM |
|---|---|
| From: | Senator Rosemary M. Brown |
| To: | All Senate members |
| Subject: | Prescription Drug Pricing for PA Workers’ Compensation |
| In the near future, I plan to introduce legislation to codify a recent Pennsylvania Commonwealth Court decision and, in doing so, address, irregularities in Pennsylvania workers’ compensation system. In Federated Mutual Insurance Company v. Summit Pharmacy, the Commonwealth Court concluded that Pennsylvania’s system for determining prescription drug prices in workers compensation was unlawful and employers have been paying significantly inflated prices for years. One example the court noted was a medication in which the wholesale price is $9 but under the so-called “Red Book” Average Wholesale Price, which is the standard used to charge employers in workers’ compensation, the charge was $2000. As of this writing, the Bureau of Workers’ Compensation has not yet identified a new standard for pricing prescription drugs in workers’ compensation, leaving much uncertainty in the market. My legislation will codify a new standard for determining prescription drug prices that complies with the court’s order for a nationally-recognized drug schedule that more closely aligns with Average Whole Price, while maintaining the guarantee the injured workers will have access to necessary prescription drugs. Please join me in sponsoring this important legislation. If you have any questions regarding this legislation, please contact Christine Zubeck in my office at 717-787-6123 or czubeck@pasen.gov. Thank you for your consideration. |
Memo Updated: May 16, 2024 03:14 PM