Adopted Changes to the Rules Limiting Compensation to Physicians from Pharmaceutical Manufacturers – Effective May 6, 2019

From: Nan Gallagher, Esq.

Summary of Adopted Amendments to the Current Regulation Limiting Compensation from Pharmaceutical Manufacturers to Prescribers:

  • Meals at educational events both CME and non-CME (formerly known as promotional) are EXEMPT from the “modest meal” amount limitation.  This means there is NO limit on the cost of meals for such events.
  • In specific, these are meals provided through an event organizer; they can be supported by a pharmaceutical manufacturer, so long as the meals facilitate the educational program to maximize prescriber learning, including information about disease states and treatment approaches.   New Jersey physicians can attend ANY event in this category in ANY state without restriction.
  • Monies paid to physicians for presenting at educational programs are NOT included in the $10,000 cap on physician earnings.
  • Compensation for focus groups, etc. falls  within the research category and are NOT subject to the $10,000 cap on physician earnings
  • The defined “Modest Meal” amount for office detailing is increased from $15 to $30 for dinners; breakfast and lunch continue to be limited to $15; these amounts will no longer include delivery, service, tax, or facility rental fee charges; and, amounts will be adjusted by the Consumer Price Index.
  •  “Modest meals” provided by a manufacturer to non-faculty prescribers through activities such as office detailing is limited to the defined ($15/$30) amount, but the costs of such meals are no longer included in the $10,000 cap.

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