Keeping care accessible, affordable, and close to home
How 340B makes it possible
Affordable Care Is a Shared Responsibility.
Keeping health care accessible and affordable takes participation across the entire health care sector. Hospitals have a role. Insurers have a role. And pharmaceutical companies have a role, too.
340B ensures drug companies do their part.
Created by Congress, 340B requires participating pharmaceutical manufacturers to provide discounted outpatient medicines to eligible hospitals and clinics serving vulnerable communities.
No state tax dollars fund 340B. Pharmaceutical manufacturers provide the discounts.
And when drug companies contribute, Hoosier communities benefit.
A Small Contribution. A Big Impact.
3%
340B discounts amount to approximately 3% of pharmaceutical manufacturers’ global revenues.
A relatively small contribution from some of the world’s most profitable companies helps strengthen care for millions of patients.
For Indiana communities, those resources matter. 340B helps hospitals and clinics keep care available close to home, support access to medications and maintain important healthcare services.
340B helps make care stronger, more accessible and more affordable.
35%
increase in drug prices from 2022-2025
More Than a Prescription
340B was created to help health care providers stretch limited resources, reach more patients and provide more comprehensive services. Congress understood that government reimbursement falls below the cost of care and included pharmaceutical manufacturers in the long-term equation to keep care access, affordable, and close to home.
That means the impact of 340B reaches far beyond the pharmacy counter:
Care close to home
Helping keep important health care services available in communities across Indiana.
Access to medications
Helping hospitals, clinics and pharmacies connect patients with the care and medications they need.
Care for those who need it most
Supporting providers that care for patients regardless of their ability to pay.
Stronger communities
Helping sustain hospital, clinic and community-based services, including emergency care, cancer treatment, behavioral health, primary care, specialty care and rural health services.
Transparency Matters
340B helps hospitals and clinics strengthen care for the communities they serve.
In Indiana, hospitals participating in the program already provide significant public reporting about how those resources are used. Under state law, hospitals report how 340B savings are directed, along with numerous other data points about their 340B programs.
The program is also subject to federal oversight and auditing requirements that help ensure accountability and compliance. The result is a program that strengthens care while providing transparency and accountability to the communities it serves.
See 340B in Action
Watch Rob’s Story
After his cancer diagnosis, Rob was denied insurance coverage and couldn’t afford his medication. Through 340B, his hospital helped him access the medication and care he needed.
Why Not Just Give the Discount Directly to the Patient?
It sounds simple. But that’s not what Congress designed 340B to do.
340B was created to strengthen health care providers serving vulnerable communities so they could reach more patients and provide more comprehensive services.
A one-time discount benefits one prescription. Strong local hospitals and clinics benefit entire communities.
340B allows health care providers to use limited resources across thousands of patients, services and communities, rather than a single transaction.
Protect 340B. Protect Local Care.
The future of 340B depends on policies that preserve the program and the resources it provides to communities. Policymakers can help preserve 340B as Congress intended, so its impact continues beyond the script.
2026 Beyond the Script