Supplemental Rebate Negotiations & Support: Using Competitive Forces to Acquire Pharmaceutical Savings
GHS is a leader in Supplemental Rebate (SR) negotiation and support for Medicaid pharmacy contracts. Used in combination with a Preferred Drug List (PDL), supplemental rebates are a powerful tool in the management of state Rx budgets. The rebate contracts we negotiate with the drug manufacturers have proven to capture significant cost savings for state Medicaid pharmacy programs.
Manufacturers offer supplemental rebates to increase the utilization of their products and, ultimately, to increase market share. Inclusion or exclusion of a manufacturer’s drug on a Medicaid PDL can translate into significant changes in the drug’s overall utilization.
GHS negotiates with about 100 pharmaceutical manufacturers and labelers and, in 2008 alone, negotiated on behalf of more than 1.2 million lives. In addition to resulting in reliable savings, rebate negotiations promote clinically appropriate utilization of prescription drugs.
GHS’ secure, online electronic-Rebate Offer Management System, e-ROMS, allows states and manufacturers to access and monitor the negotiation process around 24/7 through our proprietary web interface.
GHS practices transparent pharmacy benefits practices. One hundred percent of the rebates we negotiate for our State clients go directly to the federal and state governments to offset their drug-spend costs.