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Reimbursement for Pharmacy Services.
| Question | Answer |
|---|---|
| AWP ( Average Wholesale Price) | the cost of drugs and pharmacueticals purchased from drug wholesaler. |
| MAC ( Maximum Allowable Cost) | based on wholesaler acquisition cost. |
| Wholesaler Acquisition Cost | include contracts negotiated between the provider and the pharmacuetical industry. |
| Prior approval | the prescriber must demonstrate evidence for anindividual patient's need for a medication outside the approved formulary for it to be reimbursed |
| The evidence to grant prior approval for nonformulary drugs usually must indicate. | 1.Patient intolerance of existing drug choices.2.Treatment Failures.3.Diagnoses without any listed treaments on the formulary.4.New drug modalities. |
| Open Formulary plans. | Reimburse all prescription medication. |
| Closed formulary plans. | only reimburse a list of medications , generally low- cost alternatives. |
| Copay Plans | divide the cost of coverage between the insurer and the patient. |
| Who has $4.00 Formulary? | Wal-Mart. |