RxDC Reporting: What HR Pros and Brokers Need to Know
Understanding the RxDC Reporting Process
The RxDC (Prescription Drug Data Collection) reporting process is established by federal regulation to promote greater transparency in healthcare spending. Under this mandate, health plans and insurers are required to submit detailed data about prescription drug costs and overall healthcare spending to the Department of Health and Human Services and other relevant federal agencies.
Employers, HR professionals, and brokers must coordinate closely with their group health plan providers, third-party administrators (TPAs), and pharmacy benefit managers (PBMs) to ensure compliant data submission. Accurate and timely reporting is essential, as non-compliance can result in significant penalties.
The critical deadline for 2025 is June 1, but don’t wait until crunch time to start prepping. We’ve got everything you need to understand, plan for, and nail this reporting requirement.
The Key Deadline—June 1, 2025
Mark your calendars! The RxDC report deadline for the 2024 calendar year is June 1, 2025. Missing this date could lead to submission headaches you don’t want to deal with. But here’s the good news—it’s only March, which means you have plenty of time to get things in order.
Why Start Now?
You might be wondering, “Why are we talking about a June deadline in March?” Simple—preparation pays off. Starting your RxDC preparations now ensures:
- Fewer Scrambles: Avoid the last-minute race to collect, verify, and submit data.
- Data Accuracy: With time on your side, you can closely review your submission for errors or gaps.
- Smooth Collaboration: The RxDC report often involves several stakeholders, including third-party administrators (TPAs), pharmacy benefit managers (PBMs), and issuers. Early conversations with them help clarify roles and responsibilities.
How Employers Can Prepare
Most employers lean on third parties like TPAs, PBMs, or carriers to fulfill RxDC reporting. That said, don’t rely entirely on your vendors—there are steps you can take to stay proactive and compliant.
Here’s your game plan:
1. Confirm Reporting Responsibilities
Start by asking TPAs, PBMs, or carriers one simple but critical question: “Are you handling RxDC reporting for us?” Don’t assume—it’s better to confirm. Outline their exact responsibilities and make sure everyone is aligned.
2. Establish Timelines
Create an internal timeline that aligns with the June 1 deadline. Build in extra time for troubleshooting—data collection often comes with unexpected hiccups.
