Departments of Labor, Health and Human Services, and Treasury Take Action to Enhance Prescription Drug Price Transparency

Departments of Labor, Health and Human Services, and Treasury Take Action to Enhance Prescription Drug Price Transparency - Healthcare Law Update - July 2025 - Brach Eichler
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7/1/2025

On May 22, 2025, the Departments of Labor, Health and Human Services, and the Treasury (the Departments) issued a request for information (RFI) regarding improvements to transparency in prescription drug pricing. Specifically, the Departments solicited input about modifying the prescription drug machine-readable file disclosure requirements in the Transparency in Coverage final rules to enhance prescription drug price transparency. The Transparency in Coverage final rules require group health plans and health insurance issuers offering group or individual health insurance coverage to make certain information relating to prescription drug expenditures available to the public. Stakeholder comments to this RFI must be received by July 2, 2025. The Departments also issued an updated FAQ effective May 22, 2025, directed to health plans and health insurance issuers regarding deadlines to enhance file formats so that pricing information is easier for consumers to read and understand. Directives in this guidance include decreasing duplicative data and reducing unnecessary fields to achieve greater price transparency for consumers.

Additionally, the Centers for Medicare & Medicaid Services issued an RFI regarding transparent pricing data by hospitals. Stakeholder comments to this RFI must be received by July 21, 2025. In addition, effective as of May 22, 2025, CMS issued updated guidance regarding hospital price transparency. The CMS guidance includes requirements for hospitals to disclose actual prices of items and services, not estimates.

Click Here to read the entire July 2025 Healthcare Law Update now!

For more information, contact:
Caroline Patterson | 973.364.5233 | cpatterson@bracheichler.com
Edward J. Yun | 973.364.5229 | eyun@bracheichler.com
Cynthia J. Liba | 973.403.3106 | cliba@bracheichler.com

*This is intended to provide general information, not legal advice. Please contact the authors if you need specific advice.

Related Practices:   Healthcare Law

Related Industry:   Healthcare