RESEARCH TRIANGLE PARK, NC—(Marketwired – July 01, 2015) – Increasing transparency within the pharmaceutical industry is not a trend unique to the United States. The finalization of the Physician Payment Sunshine Act has begun to influence policies in other parts of the world, according to a recent study by fair market value (FMV) benchmarking firm Cutting Edge Information. Countries in European and Asian emerging markets have taken steps to hold companies accountable for their payments to healthcare practitioners.
The study, Global Key Opinion Leader Compensation 2015, found that many European countries have enacted changes that regulate companies' interactions with healthcare providers and medical institutions. The European Federation of Pharmaceutical Industries and Associations (EFPIA) outlines its expectations for the industry in its Code on Disclosure of Transfers of Value from Pharmaceutical Companies to Healthcare Professionals and Healthcare Organisations. Some requirements include the use of FMV to guide physician payments and public disclosure of any institutional donations that companies may make.
In 2013, the EFPIA further amended its code to restrict the level of meal compensation that healthcare practitioners receive at medical conferences. This update required member countries to set monetary thresholds for the meals that pharmaceutical companies are allowed to provide medical audiences. Countries were to incorporate this stipulation into their national codes by the end of 2013. Failure to do so would result in price ceilings established by the EFPIA.
The UK has also updated its current code of practice in response to the US Sunshine Act. In 2013, the Prescription Medicines Code of Practice Authority (PMCPA) — an independent offshoot of the UK's Association of the British Pharmaceutical Industry (ABPI) — released its updated code. Under newly implemented Clause 21, companies must go beyond reporting the total of their aggregate payments to healthcare experts. Starting with 2015 payments, companies must categorize transfers of value made to physicians and institutions.
Apart from EFPIA guidance, adopted by its member countries, some European countries have created and passed their own iterations of the Sunshine Act. These regulations require companies to disclose all physician payments. However, companies expect varying levels of anonymity.
Global Key Opinion Leader Compensation 2015, available at http://www.cuttingedgeinfo.com/research/medical–affairs/thought–leader–fmv–physician–fee–schedules/, is designed to help drug and device companies stay compliant and keep pace with the rapid, worldwide formalization of FMV processes and legislation, as well as to determine whether company FMV payments for specialists and non–MDs are defensible and clear. Other key questions answered by this report include:
What are the most relevant factors to consider when determining FMV compensation?
How do subspecialists fit into the FMV determination process?
What factors should companies take into account when formalizing their payments?
How is the US Sunshine Act influencing transparency requirements in other markets?
To learn about Cutting Edge Information's fair market value service, please visit http://www.cuttingedgeinfo.com/physician–fair market–value/.
Cutting Edge Information's FMVConnect Database
FMVConnect, a benchmarking and analysis solution by Cutting Edge Information, provides healthcare companies with the data necessary to build key opinion leader relationships and to establish top–notch physician and non–physician fair market value fee schedules.
Our team of research experts has worked with thought leaders and pharmaceutical executives to develop a time–tested methodology for identifying and segmenting healthcare professionals and for determining fair market value for specific thought leader activities.
With Cutting Edge Information's FMV services, you can:
Implement a fee schedule based on detailed KOL compensation benchmarks
Establish sound consultant and advisor payment practices
Receive a customized data set based on your company's specific needs
FMV data for different though leader activities are presented in tables and grouped by specialty, geographic region and tier. Our comprehensive database includes information from 117 countries, 109 specialties and subspecialties and 63 non–specialties.
Go to http://www.cuttingedgeinfo.com/physician–fair market–value/ for more information.