Atlanta, GA – Broadspire, a third‐party administrator of workers compensation claims, liability claims and medical management services, launched a physician dispensing program designed to lower workers compensation medication costs and improved safety for injured workers.
“The issue of physician dispensing – the practice of physicians supplying medications directly to injured workers – has been an issue, cost driver and area of safety concern for TPAs and workers compensation insurers for many years,” stressed Erica Fichter, senior vice president, Medical Management for Broadspire. “Broadspire has long recognized this issue, and we have implemented a tested program that addresses the safety concerns associated with this practice.”
Within the workers compensation, medical and pharmaceutical fields there have been ongoing safety concerns with physician‐dispensed medications, which have focused on several potentially harmful factors, such as the lack of a second safety check by a pharmacist, the use of software to detect prescribing errors, along with no established regulatory oversight. Altogether, these factors may lead to lax procedures for medication labeling, record‐keeping, storage, and supervision of the dispensing physician. Additionally, physician‐dispensed medication could create a potential conflict of interest when the physician prescribing the medication is also the person dispensing the medication and profiting from the sale.
Early in 2014, Broadspire piloted a program in states where direction of care is permitted, identifying network providers that had high costs associated with medications dispensed to injured workers. This pilot program consisted of a letter campaign advising physicians about the safety risks of directly dispensing to their patients. The communication also gave the physicians valuable information about Broadspire’s pharmacy network benefit, which allows the provision of medications associated with the injured worker’s compensable condition without any out‐of‐pocket costs to the injured worker.
Following the campaign, Broadspire noted a 46 percent decrease in the costs associated with physician‐dispensed medications. This pilot has demonstrated such a positive outcome that it has now matured to a program targeting physicians in other states where this practice is prevalent and can be effectively managed.
Fichter added that “This innovative program is another example of how Broadspire’s clinical team works in tandem with our network partners to address our clients’ concern for safety and to help them realize cost savings. Our program continues to be expanded to other states that are significant contributors to this issue, and we will be measuring the impact of those programs on an ongoing basis.”
Source: Broadspire