CHICAGO, Aug. 25, 2020 /PRNewswire/ -- Kalderos, the creator of the country's first Drug Discount Management platform, announced today its industry-first 340B rebate solution, 340B Pay. Available on September 8, 2020, 340B Pay is the first real-time, compliant solution for requesting, verifying and, through integration with a third-party payment provider, paying 340B rebates. 340B Pay allows all 340B stakeholders to benefit from managing 340B discounts via rebates, previously only available to AIDS Drug Assistance Programs. Bringing a dated drug discount infrastructure into the modern era, stakeholders will benefit from a process that increases visibility for all.
"For the past 18 months, we've been building the dedicated infrastructure to support a simplified, streamlined and transparent 340B rebate process," said Jeremy Docken, co-founder and CEO, Kalderos. "340B Pay strengthens the integrity of the 340B Drug Pricing Program wherein all stakeholders can proactively identify and prevent issues."
340B Pay sits at the center of providers, drug manufacturers and states, encompassing two tools: Request and Verify.
Request is a provider-facing tool that streamlines the process of requesting and, through integration with a third-party payment provider, receiving 340B discounts directly from manufacturers.
Verify is a manufacturer-facing tool that modernizes the drug discount information exchange, simplifying the effectuation of discounts.
Kalderos' API allows covered entities, manufacturers and Medicaid agencies to quickly and easily connect their existing software solutions to 340B Pay to request and manage 340B rebates.
With 340B Pay, manufacturers will authorize electronic payments through the third-party payment provider to covered entities after the entities submit eligible transactions. The transaction data exchanged will allow covered entities, state Medicaid agencies and manufacturers to collaboratively work to ensure the right discount goes to the right party, preventing nearly 100% of duplicate discounts.
Independent government watchdog groups, most recently the GAO in a report published in January 2020, have repeatedly found the 340B Program, which has grown to nearly $30 billion in discounts annually, suffers from serious compliance challenges that need to be addressed, specifically regarding duplicate discounts. Kalderos' solutions, including 340B Pay, are designed to address these problems.
"We have communicated transparently about our model with the federal government for more than 18 months, repeatedly providing updates on our model, as it was designed and tested," added Docken. "We are happy to report that HRSA, the agency responsible for overseeing the 340B Program, has not identified any enforcement issues raised by our model."
"The 340B Program is crucial for covered entities aiming to stretch thin resources in order to better serve vulnerable in-need patient populations," said Steve Zielinski, senior director of industry relations, Kalderos. "340B Pay is designed with and for providers, enabling them to both easily comply with the 340B Program and ensure they receive all of the compliant 340B discounts they request."
"The healthcare system should benefit patients, and we are focused on delivering holistic solutions that enable all stakeholders to fulfill their mission of improving quality of and access to care. Months of rigorous testing has proven that 340B Pay addresses the challenges drug manufacturers face managing the complex and often contorted drug discount environment," said Micah Litow, president and COO, Kalderos. "We're the only organization poised to be the drug discount manager for all 340B stakeholders."
Kalderos combines industry expertise, design thinking and technology to target waste and to improve efficiency as the category leader in healthcare network management. Its SaaS products, including 340B Pay and Discount Monitoring solutions, form the world's first Drug Discount Management platform, which checks, identifies and resolves noncompliance. Using sophisticated models and machine learning processes, Kalderos detects inconsistencies overlooked by current methods, providing material benefits by eliminating waste. With Kalderos' 340B Pay solution, all manufacturer and covered entity funds flow directly through a third-party payment provider and its financial institution partner(s), and not Kalderos, to efficiently and quickly pay and receive 340B discounts. Based in Chicago, Kalderos was founded in 2016 by a team firmly rooted in the belief that it is essential to fix this problem in order to help patients and reduce inefficiencies. More information can be found at www.kalderos.com.