Current Insights on the Fees Plaguing our Profession
Any independent pharmacy operating today is painfully familiar with DIR fees—and by this point, most pharmacy owners have a visceral reaction when they hear the term.
DIR, which stands for “direct and indirect remuneration,” is the result of a loophole in Medicare regulations which has payers recouping dollars from pharmacies sometimes up to a year after a Medicare prescription has been filled. The reason cited? Pharmacy performance; though, the quality measures used to determine that performance are often unknown, inconsistent, vague, or even outside the pharmacy’s control.
In its early stages, DIR had a fairly simple concept and structure. But has transformed over time into a complex and confusing model with the majority of DIR fees being collected six to nine months after the point of sale, causing significant implications to a pharmacy’s profit and cash flow.
Grab this guide to learn:
The state of DIR
DIR fees: at-a-glance
Changes in legislation
What can pharmacies do?
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