FTC withdraws healthcare enforcement policy statements
The FTC said that much in the statements is outdated, and not in tune with market realities.
Photo: Cavan Images/Getty Images
The Federal Trade Commission has signaled the withdrawal of two antitrust policy statements related to enforcement in healthcare markets: Statements of Antitrust Enforcement Policy in Health Care, published in August 1996, and Statement of Antitrust Enforcement Policy Regarding Accountable Care Organizations Participating in the Medicare Shared Savings Program from October 2011.
The FTC has determined that the withdrawal of the two statements is the best course of action for promoting fair competition in healthcare markets.
Many of the statements are outdated and no longer reflect market realities in this sector of the economy, the FTC said. The Commission's withdrawal follows the Department of Justice's decision to rescind the same statements in February.
WHAT'S THE IMPACT?
According to the FTC, given the profound changes in these markets over the last 30 years, the statements no longer serve their intended purpose of providing accurate guidance to market participants.
Rather, the Commission's record of enforcement actions, policy statements and competition advocacy in healthcare provide more up-to-date guidance to the public, the agency said.
The Commission will continue its enforcement by evaluating mergers and conduct in healthcare markets that affect consumers on a case-by-case basis.
"In making its enforcement decisions, the Commission will rely on general principles of antitrust enforcement and competition policy for all markets, including markets related to the provision of healthcare products and services," the organization said.
The Commission vote to rescind the statements was 3-0.
THE LARGER TREND
This week the FTC sought to block IQVIA, the world's largest healthcare data provider, from acquiring Propel Media (PMI), alleging in an administrative complaint that the proposed acquisition would give IQVIA a market-leading position in programmatic advertising for healthcare products – namely prescription drugs – to doctors and other healthcare professionals.
The merger would also increase IQVIA's incentive to withhold key information to prevent rival companies and potential entrants from effectively competing, the complaint said.
Twitter: @JELagasse
Email the writer: Jeff.Lagasse@himssmedia.com
