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Although The U.S. Pharmacopeia's (USP) interim Medicare Prescription Drug Benefit Draft Model Guidelines recommend a drug classification system, CMS will consider other alternatives as long as the formularies provide preferred access to a broad range of widely used drugs.

In evaluating and approving proposals from Medicare prescription drug plans (PDPs), CMS says it will examine a plan's formulary list, pharmacy and therapeutics (P&T) committee operations, and benefit management tools, such as prior authorization and appeals and exceptions policies.

The Sept. 30 Voluntary Recall of Vioxx (rofecoxib) by Merck is just another in a long list of headline-making news for the industry. The action was based on the results of a three-year, randomized double-blind trial that indicated that after taking Vioxx for 18 months, patients had twice the risk of heart attack compared with a placebo.

Recent scares about suicidality linked to antidepressants and painkillers intensifying interest in policies to ensure the safe use.

Back to managing care?

The managed care backlash is easing up, probably because consumers are feeling the pinch of rising costs.

One hundred fifty billion dollars is a staggering figure. Combine it with the phrase, "in losses," and the number becomes a nightmare. That nightmare-$150 billion in losses-is one estimate of the cost of health insurance fraud and abuse in America.