Most Favored Nation Model Interim Final Rule Summary

CMS released an interim final rule with comment (IFC) period on November 20, 2020, creating a Most Favored Nation Model (MFN) for Part B drugs. The MFN Model prices Medicare Part B drugs based on international prices in all states and U.S. territories for 7 performance years—from January 1, 2021, to December 30, 2027, for 50 single source drugs and biologicals that encompass a high percentage of Medicare Part B drug spending. The IFC was published in the Federal Register on November 27, 2020. The display copy of the rule indicates that the public comment period will end 60 days from publication in the Federal Register, which would be January 26, 2021. The rule is effective upon publication, but the MFN Model will not begin until January 1, 2021.