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Case Study

Recovering costs through eRecovery™

Hospitals and health systems are challenged with supporting a growing population of underinsured patients.

Patient Assistance Programs (PAPs) exist to help these underserved populations; they enable qualifying patients access to medication at little to no cost. Some organizations choose to navigate the PAP process in house, which can be challenging and put a strain on valuable hospital resources.

Kathy Chase, PharmD

Director, Drug Cost Control Services

Riverside Health System, an award winning, non-profit integrated health delivery network with five acute care hospitals and over 100 locations based in Newport News, Virginia, was one such health system facing this issue. Although Riverside was effectively performing drug recovery in house, its leaders were looking for a way to optimize its self-managed Patient Assistance Program.

Cardinal Health eRecovery™ Solutions enabled Riverside to enhance and expand upon the opportunities that were already being executed within the organization by providing a more efficient staffing model, compliant PAP process knowledge and bigger bottom-line results. And the results are significant.

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The Bottom Line

Cardinal Health helped improve the process for recovering the cost of eligible drugs from manufacturer Patient Assistance Programs at significantly higher rates than what Riverside was previously capturing on its own.

  • Redeploy staff to greater margin-enhancing initiatives in line with the health system’s strategy for the future
  • Ensure the health system is compliant in receiving free medications
  • Realize a 27 percent increase in hard dollars that were returned to the health system’s bottom line, reducing their overall drug spend

In addition to these results, Riverside was able to help positively impact patient lives through compliance with medications necessary to keep them healthy and reduce the probability of being readmitted to the hospital.

The newly dedicated eRecovery™ Solutions employee allowed for hospital employees in both clinical and non-clinical roles to focus on strategic initiatives and value-added responsibilities within the hospital.

The Cardinal Health experts were able to share knowledge of PAP rules and regulations, enabling the communication of best practices across Riverside’s entire health system.

$27,000+

In the 1st year, Cardinal Health helped Riverside Health System recover $27,000, on average, per month

40%

With Cardinal Health eRecovery™ Solutions, Riverside recovered 40% more each month over their in-house PAP recovery

$59,602

Retrospectively recovered funds not applied for previously over six months
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