Pharmacy Pricing Flashcards
1
Q
Pharmacy Pricing
Manufacturers: Selling (Who, Price)
A
- Wholesalers and Pharmacies
- AMP or WAC
2
Q
Pharmacy Pricing
Wholesalers: Selling (Who, Price)
A
- Retailers
- WAC + Markup or Discount off AWP
3
Q
Pharmacy Pricing
Wholesalers: Buying (Who, Price)
A
- Manufacturers
- AMP or WAC
4
Q
Pharmacy Pricing
Retailers: Buying (Who, Price)
A
- Wholesalers and Manufacturers
- AAC
5
Q
Pharmacy Pricing
Retailers: Selling (Who, Price)
A
- Consumers
- U&C Price
6
Q
Pharmacy Pricing
AMP
A
Average Manufacturer Price
- Manufacturers sell to wholesalers/retailers at AMP
7
Q
Pharmacy Pricing
WAC
A
Wholesale Acquisition Cost
- Manufacturers sell to wholesalers at WAC
- Wholesalers sell to retailers at WAC + Markup
8
Q
Pharmacy Pricing
AWP
A
Average Wholesale Price
- Wholesalers sell to retailers at discount off AWP
9
Q
Pharmacy Pricing
AWP and WAC relationship
A
WAC = 83.33% of AWP
10
Q
Pharmacy Pricing
AAC
A
Actual Acquisition Cost
- Price retailers buy from manufacturers/wholesalers at
11
Q
Pharmacy Pricing
U&C PRice
A
Usual and Customary price
- Price retailers sell to consumers/insurers at (AAC + Markup)
12
Q
Pharmacy Pricing
MAC
A
Maximum Allowable Cost
- Price that PBMs/insurers negotiate with retailers for generic drugs
13
Q
Pharmacy Pricing
Manufacturer Rebates
A
% of WAC on brand drugs
14
Q
Pharmacy Pricing
Differences between US and Canada Drug Pricing
A
- Canada’s Manufacturer Selling Price = Manu. List Price (MLP)
- Price for generics are capped at % of brand in Canada
- Generic drug rebates are common in Canada
