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Month: April 2021

Playing Poker With the Devil: “Prior Authorizations” are Paralyzing Patients and Burning out Providers

By HANS DUVEFELT

The faxes keep coming in, sometimes several at a time. “Your (Medicare) patient has received a temporary supply, but the drug you prescribed is not on our formulary or the dose is exceeding our limits.”

Well, which is it? Nine times out of ten, the fax doesn’t say. They don’t explain what their dosage limits are. And if it isn’t a covered drug, the covered alternatives are usually not listed.

So the insurance company is hoping for one of a few possible reactions to their fax: The patient gives up, the doctor tries but fails in getting approval, or the doctor doesn’t even try. In either case, the insurance company doesn’t pay for the drug, keeps their premium and pays their CEO a bigger bonus.

First problem: This may be in regards to a medication that costs less than a medium sized pizza. And the pharmacy generally doesn’t even bother telling the patient what the cash price is.

Second problem: A primary care physician’s time is worth $7 per minute (we need to generate $300-400/hour). We could spend half an hour or all day on a prior authorization and there is absolutely zero reimbursement for it.

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THCB Gang Episode 49, Thursday April 1, 1pm PT /4pm ET

The April Fools joining me on THCB Gang today will be policy expert consultant/author Rosemarie Day (@Rosemarie_Day1), futurist Jeff Goldsmith, policy & tech expert Vince Kuraitis (@VinceKuraitis),  and patient safety expert & all around wit Michael Millenson (@MLMillenson). There’s vaccines, a 4th wave, Texas reopening, Florida never having closed, and a whole mess of health policy. It’ll be fun — so come join us

You can see the video below live and the audio will be on our podcast channel (Apple/Spotify) from Friday

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