A government watchdog group sued the Biden administration on Thursday for failing to comply with a Trump-era rule that requires more transparency in prescription drug prices.
The Foundation for Government Accountability (FGA) filed a lawsuit against the Department of Health and Human Services (HHS), Department of Labor and the Department of the Treasury for lack of enforcement of a Trump-era drug price transparency rule that required group health plans and health insurers to give consumers information about the price they will pay for medications under their plans.
The Transparency in Coverage rule was finalized in 2020, and the drug price transparency provision was set to take effect on Jan. 1, 2022. But before it could, the Biden administration released a guidance document to block enforcement of the rule – FGA says the move circumvented the required notice-and-comment procedures that must take place before changes can be made to an existing regulation.
"Patients have a fundamental right to control their own health care decisions, and that includes budgeting for medical expenses and prescriptions," said Tarren Bragdon, president and CEO of FGA. "Without full pricing information, families are left with higher costs and lower confidence in our health care system."