Effective April 1, 2011, Georgia changed the reimbursement rules for physician-dispensed prescriptions by capping the prices paid for repackaged drugs at the average wholesale price (AWP) of the original drug product used in the repackaging process. While the reform is intended to reduce the prices paid for physician-dispensed drugs, the state continues to allow physicians to dispense prescription drugs to their patients. As of June 2016, 20 states have made changes to rules governing physician dispensing.
As part of a series of WCRI studies that examine the impact of physician dispensing reforms, this report presents the results of the price-focused reform on the frequency and costs of physician dispensing in Georgia. The analysis is based on detailed transaction data for physician- and pharmacy-dispensed prescriptions filled by injured workers up through the first quarter of 2014 that capture 36 months of post-reform experience.
Impact of Georgia Reforms on Physician Dispensing. Dongchun Wang, Vennela Thumula, and Te-Chun Liu. July 2016. WC-16-46.