Since its creation in 1992, the federal 340B Drug Pricing Program allows qualifying health care providers who treat low-income and uninsured individuals to buy discounted prescription drugs. The program has grown significantly - due to an increase in the number of eligible health care providers and the higher volume of drugs purchased through the program. However, as the program has grown beyond its original intent, there has been a series of legal challenges between drug manufacturers, providers, and federal policymakers.

“In the U.S. we have at most about 80,000 pharmacies… that serve patients. 38,000 to 39,000, almost, are eligible for this 340B discount, which is primarily meant for uninsured patients. There is no way in the U.S. that… we have 50 percent of our population which is uninsured, nor is it a possibility that 50 percent of our population is low income,” says Dr. Robert Popovian, Chief Science Policy Officer at the Global Healthy Living Foundation.

Among the highlights in this episode:

1:31: There are 38,000 contract pharmacies eligible for the 340B program in the U.S.

2:25: Why was this program created by the federal government and who does it serve?

4:15: How the 340B program drifted away from its original intent

6:58: “Currently, there are no criteria for these institutions that receive these 340B discounts to reinvest and provide, for example, charity care,” says Dr. Robert Popovian

8:01: What the shortcomings of the program mean for patients

9:09: The New York Times released an article demonstrating how some health care providers use the 340B program to turn a substantial profit at the expense of underserved communities

Link: https://www.nytimes.com/2022/09/24/health/bon-secours-mercy-health-profit-poor-neighborhood.html

10:27: Is the program salvageable and how?

12:53: Dr. Popovian shares some final thoughts

Contact Our Hosts

Dr. Robert Popovian, Chief Science Policy Officer at GHLF: rpopovian@ghlf.org

Conner Mertens, Patient Advocate and Community Outreach Manager at GHLF: cmertens@ghlf.org

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