How Health Systems Can Grow Their 340B Program and Save Patients Money on Prescriptions

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Health systems operating under the 340B Drug Pricing Program have a unique opportunity to not only enhance their own financial sustainability but also to pass on significant savings to their patients. The 340B program, which requires drug manufacturers to provide discounts on outpatient drugs to eligible health care organizations, allows these entities to stretch scarce federal resources as far as possible, reaching more eligible patients and providing more comprehensive services.

One key way health systems can benefit patients is by ensuring that some of the financial savings they receive through the 340B program are passed on directly to those patients. By offering patients the choice to utilize the health system’s pharmacy, where drugs are available at a discounted rate, patients can save substantially on their prescriptions. This approach aligns with the original intent of the 340B program, which is to enable covered entities to “stretch scarce federal resources as far as possible, reaching more eligible patients and providing more comprehensive services.”

This patient-centered approach not only helps individuals afford their medications but also strengthens the health system’s relationship with its community. Patients are more likely to seek care from a health system that not only provides quality care but also offers affordable medication options. By passing on the financial savings from the 340B program to patients, health systems can increase patient loyalty and trust, while offering a much stronger continuity of care. Who wouldn’t want their pharmacy and provider under the same organization where they can more easily communicate and share information.

Moreover, by enabling patients to choose whether to utilize the health system pharmacy, health systems can further enhance patient satisfaction and convenience (e.g., home delivery). Some patients may prefer the convenience of receiving their medications from the health system where they receive other care, while others may have established relationships with other pharmacies. Providing patients with the choice allows them to make decisions that best suit their individual needs and preferences.

Passing on financial savings to patients under the 340B program and offering them choice in pharmacy can have significant benefits for health systems financially, and for patients clinically. It allows health systems to fulfill their mission of providing high-quality, affordable care while also fostering patient loyalty and trust. By embracing these principles, health systems can not only grow and thrive but also play a crucial role in improving access to affordable medications for their communities. 

Reach out to RxLink to find out how we can support your goals of growing your pharmacy business and providing better care to your patients – info@rxlink.com.