What is 340B? 

The 340B Drug Pricing Program is a U.S. federal program that allows eligible healthcare providers, particularly those serving underserved populations, to purchase outpatient drugs at reduced prices. It was established in 1992 as part of the Public Health Service Act. 

Eligible entities under 340B, such as certain hospitals, community health centers, and clinics, can buy medications at discounted rates and use the savings to expand services, improve patient care, and enhance access to medications. The program aims to help safety-net providers offer affordable healthcare to vulnerable populations. 

The 340B program has faced scrutiny and debate over issues like its impact on drug pricing, access to medications, and the overall healthcare system. 

Unfortunately, free and charitable clinics and charitable pharmacies are not currently listed as deemed entities of this program. 

What does this mean for our patients at free and charitable clinics and pharmacies? 

Without being a deemed entity under 340B, our clinics and pharmacies, and therefore millions of uninsured patients across the country, do not have access to the pricing program. This is especially difficult because the program is created to support “underserved populations,” which happens to be the direct patient population of free and charitable clinics and pharmacies. 

Without 340B access, these clinics and pharmacies aiming to support the uninsured have a much more difficult time accessing the medications their patients need. 

Why is Medication Access Important 

Medication access is crucial for the uninsured and underserved in America for several reasons: 

1. Health Outcomes: Access to medications can significantly improve health outcomes for individuals with chronic conditions, acute illnesses, or mental health issues. Without proper treatment, these conditions can worsen, leading to more complex health problems. 
2. Preventive Care: Medications can play a key role in preventive care, helping to avoid complications that may require expensive emergency care or hospitalization. This is especially important for uninsured individuals who may lack access to regular healthcare. 
3. Economic Burden: Uninsured individuals often face financial barriers to obtaining medications. High out-of-pocket costs can lead them to skip doses, ration medicine or forgo medications altogether, which can result in higher long-term healthcare costs due to worsening health. 
4. Equity in Healthcare: Access to medications is a fundamental aspect of health equity. Ensuring that uninsured populations can obtain necessary medications helps to reduce disparities in health outcomes based on socioeconomic status. 
5. Public Health: Widespread access to medications helps prevent the spread of communicable diseases and supports overall public health. When individuals can effectively manage their health conditions, it benefits the broader community. 
6. Mental Health: Access to medications is critical for those facing mental health challenges. Uninsured individuals may struggle without necessary treatments, impacting their quality of life and ability to function in society. 

What are we doing to help? 

The National Association of Free & Charitable Clinics is constantly working with legislators to ensure that uninsured and underserved patients across the country are provided with equitable, accessible healthcare. 

Earlier this year, the NAFC invited members of its Board of Directors and State Associations to Washington, DC to meet directly with their legislators on issues plaguing free and charitable clinics and pharmacies, with a specific focus on access to 340B. During these meetings, we were able to advocate for uninsured Americans with our country’s change-makers. We will continue to be our patients’ champions until our vision of a just society that ensures a healthy life and well-being for all is realized.  

If you or someone you know needs medication, please visit the NAFC’s website to use our easy Clinic/Pharmacy Locator and contact us for more information. Together, we can ensure a future where everyone has access to the medication they need.