New England HMO offers pharmacists flat drug fee
To curb soaring prescription costs, Harvard Pilgrim Health Care intends to pay pharmacies in Massachusetts a flat fee of about $30 per prescription, regardless of the full cost to pharmacies. The Brookline, MA-based HMO said it hopes the flat fee will boost the use of generic prescription drugs by its enrollees to 50% from the current 45%. It has signed contracts with about 70 independent drugstores and several pharmacy chains. With 1.2 million enrollees, Harvard Pilgrim is the largest HMO in New England.
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