New study finds hospitals prescribe more medicines, and more expensive medicines, after joining 340B program

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Data and analyses continue to show the 340B program influences prescribing trends at 340B hospitals – ultimately costing patients and our health care system more money. The Government Accountability Office (GAO), for example, conducted an analysis that found per-patient spending at 340B disproportionate share hospitals (DSH) significantly exceeded spending at non-340B hospitals. In that analysis, GAO identified a “financial incentive at hospitals participating in the 340B program to prescribe more drugs or more expensive drugs to Medicare beneficiaries.” A 2018 report from Milliman confirmed similar patterns in the commercially insured population.