Group health plans and health insurance issuers must report prescription drug and health care spending information to the U.S. Department of Health and Human Services, Department of Labor and Department of Treasury on an annual basis. The reporting is completed by uploading information to a government website. The reporting process, or RXDC Prescription Drug Data Collection, is due June 1, 2023 for the 2022 calendar year.
The reporting relays to the government the employee and employer costs for health insurance coverage. It applies to medical and prescription drug plans, but not to account-based plans (like FSAs) or to excepted benefit plans. The purpose of the reporting is to give the government cost information to use when consider ways to reduce medical expenses and costs.
For insured plans, the insurer will typically submit the reporting. However, employers may be asked to provide their insurers data about plan costs and coverages. Employers should look pay attention to data requests from insurers and respond to those requests timely.
