340B Health


in 340B Health News Releases

WASHINGTON, D.C.— Hospitals participating in the 340B drug pricing program treat significantly higher percentages of Black, disabled, and low-income patients living with chronic medical conditions than do non-340B hospitals or private physician offices.

A new report commissioned by 340B Health examines care for 27 chronic conditions to determine the characteristics of patients treated in these settings. Researchers from KNG Consulting examined Medicare claims data from 2017-2019 for a host of conditions that require ongoing care. They include:

  • Alzheimer’s disease
  • Asthma
  • Breast, colorectal, prostate, and lung cancer
  • Chronic kidney disease
  • Diabetes
  • Substance use disorders
  • Viral hepatitis

KNG found patients with any of these conditions receiving their care at 340B hospitals are more likely to be Black. Breast cancer patients treated in 340B outpatient departments are 2.6 times more likely to be Black than women treated at non-340B hospitals. Patients with viral hepatitis at 340B hospitals are twice as likely to be Black. And among patients living with HIV/AIDS, those treated at 340B hospitals are 1.6 times more likely to be Black than those at non-340B hospitals.

The report also found that 340B hospitals serve a significantly higher proportion of people living with disabilities than non-340B facilities. Patients with leukemia/lymphoma, colorectal cancer, or breast cancer treated in a 340B hospital are one-and-a-half times more likely to originally have been enrolled in Medicare for disability than non-340B patients. Medicare beneficiaries who are disabled are more likely to be younger than age 65.

340B hospitals also treat a significantly higher share of patients living with low incomes as evidenced by their dual eligibility for Medicare and Medicaid. This is especially true among patients with prostate cancer, as these patients at 340B facilities are more than twice as likely to be dually eligible than those seen at non-340B hospitals.

“Congress created the 340B program to support safety-net hospitals, health centers, and clinics that treat patients who often are underserved by the broader health care system. This report documents the fact that the program is succeeding by providing additional resources that enable these providers to care for those most in need,” said 340B Health President and CEO Maureen Testoni. “We are pleased to see this evidence that 340B continues to be a successful program that doesn’t cost taxpayers anything.”

Contact: Richard Sorian at richard.sorian@340bhealth.org or 202-536-2285.