Average wholesale price
In the United States, the average wholesale price (AWP) is a
For decades, AWP has been used to determine third-party
health care industry because third party payers have no other reliable method of obtaining real market prices as most contracts contain confidentiality clauses. Reimbursement amounts are typically based on AWP minus some percentage. As a result of published AWPs often exceeding real prescription drug prices, many states have brought lawsuits against pharmaceutical manufacturers and others, alleging fraud and violations of consumer protection laws.[3]
History
It was created in 1969.[4]
See also
- National Average Drug Acquisition Cost
- Wholesale acquisition cost (WAC)
- Average Manufacturer Price(AMP)
References
- ^ a b "Average Wholesale Price (AWP) as a Pricing Benchmark". Drugs.com. Jan 27, 2022. Retrieved 25 November 2019.
- ^ "AWP Policy". Micromedex Products. February 17, 2004. Archived from the original on May 24, 2019. Retrieved 26 November 2019.
- ^ Dawn M. Gencarelli (August 29, 2005). "One Pill, Many Prices: Variation in Prescription Drug Prices in Selected Government Programs" (PDF). National Health Policy Forum. Archived from the original (pdf) on Dec 24, 2009. Retrieved 2009-08-06.
- ^ Beaton, Thomas (November 6, 2017). "Improving Price Transparency around Generic Drugs for Payers". HealthPayerIntelligence. Retrieved November 25, 2019.