Question:

With the new Part B payment model, will the add-on payment change? 

Answer:

Currently, Medicare Part B pays physicians and hospital outpatient departments the average sales price (ASP) of a drug plus a 6 percent add-on. In its new payment model for drugs, CMS proposed changing the add-on payment to 2.5 percent plus a flat-fee payment of $16.80 per drug per day, which will, it says, cover the cost of any Medicare Part B drug. Updates will be applied at the start of each new year for this amount if warranted.

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