Fair Pharmacy Audit Law – INDIANA

INDIANA SUMMARY OF EXISTING LAW

The state’s fair audit law includes requirements such as: the audit period covered by the audit cannot exceed 24 months; the preliminary audit report must be received within 90 days after the conclusion of the audit; auditors may not be compensated based on a percentage of any amount recovered as a result of the audit; and recoupment or penalties must be based on actual overpayments and not according to the accounting practice of extrapolation.

Link to Existing Law: Ind. Code Ann. § 25-26-22-5

PRACTICAL NOTE FOR EXISTING LAW

This state has a fairly basic fair audit law. It would be benefitted if it included a statutory private right of action for an aggreived provider and if it placed a limit on the number of prescriptions that could be reviewed at any timed. In addition, the language could be strengthened to prohibit recoupment in the instances of clerical errors, etc.