Health Affairs

Health Affairs, 23, no. 1 (2004): 124-134 doi: 10.1377/hlthaff.23.1.124 © 2004 by Project HOPE	New Online   Reinhardt: Post-Summit   Report from the Summit   President's Reform Proposal   Rising Medicare Costs   Spending for Immigrants   $2.5 Trillion U.S. Health Tab   Child Obesity Briefing

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Benefit Design

Evidence-Based And Value-Based Formulary Guidelines

Peter J. Neumann

Health plans and hospitals have long used drug formularies, but the processes by which formulary committees made decisions have typically lacked transparency and scientific rigor. A growing number of organizations have begun implementing formulary guidelines issued by the Academy of Managed Care Pharmacy (AMCP). These guidelines call for health plans to request formally that drug companies present a standardized "dossier" that contains detailed information not only on the drug’s effectiveness and safety but also on its economic value relative to alternative therapies. This paper describes the guidelines, reviews progress to date, and analyzes several critical issues for the future.

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