California pays insurers millions more for new hepatitis C drugs

The California Department of Health Care Services reports private health plans invoiced the state of California $387.5 million to cover hepatitis C treatments in Medi-Cal between July 2014 and November 2015, when just 3,624 patients received the treatments. The state’s supplemental payments started after managed care plans that cover health services for almost 80% of Medi-Cal recipients raised “alarm” about the high cost of the new drugs. The health insurance companies are usually paid a flat rate per member to cover all health care needs.