Jun 10, 2025

Don’t Miss a Claim: How to Monitor Disqualified Claims in Your 340B Program

Written by: Samantha Mantuano, VP of Program Management Operations

 In today’s 340B environment, every claim counts. With increased oversight, tighter margins, and growing manufacturer restrictions, covered entities need to maximize their 340B savings by capturing every eligible claim. One often-overlooked opportunity lies in understanding and monitoring disqualified claims.

These are claims that, for one reason or another, didn’t qualify for 340B qualification—but could have. Rather than accepting disqualifications at face value, covered entities should treat these claims as signals for action. Below is a guide to reviewing and correcting disqualified claims, in collaboration with your third-party administrator (TPA), to ensure you aren’t leaving savings on the table.

Start by Working with Your TPA

Your TPA plays a critical role in filtering and qualifying claims for 340B eligibility, and their system often holds valuable insight into why claims are being disqualified. Start by requesting a disqualified claims report from your TPA – not all TPAs provide this proactively.

Having this visibility gives your team the opportunity to dig deeper and identify patterns or errors that can be corrected moving forward.

Key Areas to Review in Disqualified Claims

Once you have the disqualified claims report in hand, focus on the following categories

1. Pricing Fall-Offs

Sometimes a claim qualifies clinically but is disqualified due to pricing data not being available or applied correctly. This can occur if 340B pricing is delayed or not loaded.

Work with your TPA and wholesaler to determine why pricing was missing and whether those claims can be retroactively captured or reprocessed.

2. Eligibility Window Issues

Your 340B program eligibility depends heavily on encounter data and timing. Many disqualified claims stem from:

  • Providers who are 340B-eligible but whose encounters fall outside your configured eligibility window

  • Missing or delayed eligibility files

Solutions to consider:

  • Expand the eligibility window to capture a broader range of legitimate encounters

  • Audit your eligibility files and submission process to ensure complete and timely data

Even small configuration changes here can have a major impact on claims capture.

3. Medicaid Mismatches

Medicaid carve-in/carve-out status can be a common source of disqualification—especially if payor information isn’t clearly defined. Disqualified Medicaid claims may happen if:

  • The claim is incorrectly flagged as Medicaid, when it’s a Medicare or a Commercial plan

  • You don’t have the correct BIN/PCN or Group ID listed in your TPA configuration

  • Payors are not properly mapped or blocked/unblocked in the system

Take time to confirm your payor list and cross-reference it with what the TPA sees. Ensure all “should-be-qualified” payors are being handled correctly.

4. Data Feed or Switch Issues

In some cases, the problem isn’t qualification logic—it’s data availability. If your TPA isn’t receiving a complete or accurate feed of your claims data, disqualification can happen simply due to missing context.

Things to watch for:

  • A sudden drop in 340B-eligible volume that doesn’t align with patient or script trends

  • Claims from certain providers or locations missing consistently

  • Switch issues that prevent prescription information from being transmitted

If these patterns emerge, engage with your pharmacy, switch vendor, or EMR to ensure full data is being transmitted.

Make It a Routine Process

Disqualified claims review shouldn’t be a one-time effort. It should be part of your monthly or quarterly monitoring process. A regular review process can help you:

  • Identify technical or systemic issues early

  • Adjust configurations as your program evolves

  • Improve your 340B capture rate steadily over time

Final Thoughts

340B compliance will always be critical—but optimization is equally important. Disqualified claims represent real dollars and missed opportunities. By partnering with your TPA, auditing your program setup, and being proactive with your data, you can recover those claims—and more importantly, prevent future losses.

Remember, in today’s 340B world, every claim matters. Don’t let yours slip through the cracks.

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Don’t Overlook the Importance of an HIN on Your Wholesale Accounts

It’s easy to remember the days before 340B ESP, when setting up of a wholesale account was an easy and streamlined process. The Health Industry Number (HIN) was not something that was discussed very often prior to the manufacturer restrictions. The HIN is the unique identifier assigned to represent the specific relationship between the covered entity and pharmacy.

Presently, covered entities (CEs) need to not only be aware of each of their wholesaler accounts but also understand which 340B ID is associated with the account, and which manufacturers they have pricing for. The HIN plays a crucial role for CEs during this process. Whether you plan to make designations per site or are creating an ESP account for the first time, the HIN remains a consistent piece of the 340B program, across all CEs. If you know you need to purchase an HIN, don’t delay, it can take multiple weeks for the request to go through.

The HIN allows for efficient retrieval and verification of transaction records for the wholesaler and manufacturers. By using a common identifier, all parties can easily share and reconcile information, ensuring that 340B pricing is applied appropriately and that any discrepancies are promptly addressed. All 340B wholesaler accounts are required to have a HIN; without one, 340B pricing cannot be loaded to an account.

If you are unsure of what 340B ID and HIN are applied to your wholesale accounts, it is important to retrieve and maintain that information. This becomes especially important when working with ESP to apply designations, track pricing issues and ultimately support an effective and compliant 340B program.

Pillr Health is readily available to assist with any questions you may have.  

Don’t Overlook the Importance of an HIN on Your Wholesale Accounts

It’s easy to remember the days before 340B ESP, when setting up of a wholesale account was an easy and streamlined process. The Health Industry Number (HIN) was not something that was discussed very often prior to the manufacturer restrictions. The HIN is the unique identifier assigned to represent the specific relationship between the covered entity and pharmacy.

Presently, covered entities (CEs) need to not only be aware of each of their wholesaler accounts but also understand which 340B ID is associated with the account, and which manufacturers they have pricing for. The HIN plays a crucial role for CEs during this process. Whether you plan to make designations per site or are creating an ESP account for the first time, the HIN remains a consistent piece of the 340B program, across all CEs. If you know you need to purchase an HIN, don’t delay, it can take multiple weeks for the request to go through.

The HIN allows for efficient retrieval and verification of transaction records for the wholesaler and manufacturers. By using a common identifier, all parties can easily share and reconcile information, ensuring that 340B pricing is applied appropriately and that any discrepancies are promptly addressed. All 340B wholesaler accounts are required to have a HIN; without one, 340B pricing cannot be loaded to an account.

If you are unsure of what 340B ID and HIN are applied to your wholesale accounts, it is important to retrieve and maintain that information. This becomes especially important when working with ESP to apply designations, track pricing issues and ultimately support an effective and compliant 340B program.

Pillr Health is readily available to assist with any questions you may have.  

Don’t Overlook the Importance of an HIN on Your Wholesale Accounts

It’s easy to remember the days before 340B ESP, when setting up of a wholesale account was an easy and streamlined process. The Health Industry Number (HIN) was not something that was discussed very often prior to the manufacturer restrictions. The HIN is the unique identifier assigned to represent the specific relationship between the covered entity and pharmacy.

Presently, covered entities (CEs) need to not only be aware of each of their wholesaler accounts but also understand which 340B ID is associated with the account, and which manufacturers they have pricing for. The HIN plays a crucial role for CEs during this process. Whether you plan to make designations per site or are creating an ESP account for the first time, the HIN remains a consistent piece of the 340B program, across all CEs. If you know you need to purchase an HIN, don’t delay, it can take multiple weeks for the request to go through.

The HIN allows for efficient retrieval and verification of transaction records for the wholesaler and manufacturers. By using a common identifier, all parties can easily share and reconcile information, ensuring that 340B pricing is applied appropriately and that any discrepancies are promptly addressed. All 340B wholesaler accounts are required to have a HIN; without one, 340B pricing cannot be loaded to an account.

If you are unsure of what 340B ID and HIN are applied to your wholesale accounts, it is important to retrieve and maintain that information. This becomes especially important when working with ESP to apply designations, track pricing issues and ultimately support an effective and compliant 340B program.

Pillr Health is readily available to assist with any questions you may have.  

Expert Tip: Strengthen Your 340B Program with Regular Internal Audits for Compliance and Savings

TIP: Maximize the effectiveness of your 340B program through consistent internal audits, ensuring both compliance and enhanced savings.

Establishing and running an effective 340B program requires diligent oversight and dedicated compliance management. A key component in achieving success is the regular implementation of internal audits. These audits serve as a proactive measure, ensuring your organization’s adherence to all the necessary regulations and guidelines governing the 340B program. By routinely reviewing your program’s operations, you can promptly identify and address any potential compliance issues, preventing their escalation into more significant problems. This not only helps in avoiding potential fines and penalties but also ensures that your program is operating at its full potential.

In addition to ensuring compliance, internal audits can also help optimize savings within your 340B program. A thorough examination of your purchasing and dispensing practices allows for the identification of opportunities to enhance efficiency and reduce costs. This could include streamlining inventory management, negotiating more favorable pricing with suppliers, or uncovering possibilities to expand the program’s reach to serve more eligible patients. By implementing adjustments based on insights gained from internal audits, you can strengthen the financial sustainability of your 340B program. This also ensures its continued provision of essential services to underserved populations while maintaining compliance with all relevant regulations and guidelines.

Expert Tip: Strengthen Your 340B Program with Regular Internal Audits for Compliance and Savings

TIP: Maximize the effectiveness of your 340B program through consistent internal audits, ensuring both compliance and enhanced savings.

Establishing and running an effective 340B program requires diligent oversight and dedicated compliance management. A key component in achieving success is the regular implementation of internal audits. These audits serve as a proactive measure, ensuring your organization’s adherence to all the necessary regulations and guidelines governing the 340B program. By routinely reviewing your program’s operations, you can promptly identify and address any potential compliance issues, preventing their escalation into more significant problems. This not only helps in avoiding potential fines and penalties but also ensures that your program is operating at its full potential.

In addition to ensuring compliance, internal audits can also help optimize savings within your 340B program. A thorough examination of your purchasing and dispensing practices allows for the identification of opportunities to enhance efficiency and reduce costs. This could include streamlining inventory management, negotiating more favorable pricing with suppliers, or uncovering possibilities to expand the program’s reach to serve more eligible patients. By implementing adjustments based on insights gained from internal audits, you can strengthen the financial sustainability of your 340B program. This also ensures its continued provision of essential services to underserved populations while maintaining compliance with all relevant regulations and guidelines.

Expert Tip: Strengthen Your 340B Program with Regular Internal Audits for Compliance and Savings

TIP: Maximize the effectiveness of your 340B program through consistent internal audits, ensuring both compliance and enhanced savings.

Establishing and running an effective 340B program requires diligent oversight and dedicated compliance management. A key component in achieving success is the regular implementation of internal audits. These audits serve as a proactive measure, ensuring your organization’s adherence to all the necessary regulations and guidelines governing the 340B program. By routinely reviewing your program’s operations, you can promptly identify and address any potential compliance issues, preventing their escalation into more significant problems. This not only helps in avoiding potential fines and penalties but also ensures that your program is operating at its full potential.

In addition to ensuring compliance, internal audits can also help optimize savings within your 340B program. A thorough examination of your purchasing and dispensing practices allows for the identification of opportunities to enhance efficiency and reduce costs. This could include streamlining inventory management, negotiating more favorable pricing with suppliers, or uncovering possibilities to expand the program’s reach to serve more eligible patients. By implementing adjustments based on insights gained from internal audits, you can strengthen the financial sustainability of your 340B program. This also ensures its continued provision of essential services to underserved populations while maintaining compliance with all relevant regulations and guidelines.

Expert Tip: Invest in Education and Oversight to Successfully Navigate the 340B Program

TIP: Dedicating resources and ensuring team members have access to education & information are essential to successfully navigating the 340B program.

The 340B program, with its complexities and frequent regulatory updates, demands careful attention to maximize savings and ensure compliance. To effectively manage the program, it is important that to dedicate resources capable of overseeing the various components of the program, emphasize thorough training, and facilitate access to essential resources.

Investing in Continuous Education: Keeping staff updated on compliance requirements and the ever-evolving legislative and pharmaceutical manufacturer changes is essential. Continuous education initiatives enable team members to accurately navigate the program’s complexities. Training in proper data management practices emphasizes the importance of data integrity in maintaining compliance and preventing costly consequences.

Prioritizing Oversight and Resources: Successful 340B programs often allocate dedicated resources for oversight, provide ongoing learning opportunities for the team to stay current with regulatory changes. Ensuring resources are dedicated to programmatic reviews can also help prevent errors and enhance program performance.

Encouraging a Culture of Learning: Promoting a culture of continuous learning can uplift staff morale and empower team members to tackle challenges with confidence. By ensuring adequate resources are available for programmatic reviews, organizations can achieve greater success with their 340B program.

Fostering Collaboration: Collaboration with internal and external stakeholders is essential. This includes working with pharmacies, manufacturers, and regulatory bodies to streamline operations and address any issues promptly. Effective communication and partnerships can lead to improved program outcomes and increased savings.

By adopting a proactive approach to education, oversight, and collaboration, organizations can navigate the complexities of the 340B program with confidence. This strategy not only ensures compliance and maximizes savings but also enhances the overall effectiveness of the organization. Embracing these practices will lead to sustained success and better outcomes for patients.

Expert Tip: Invest in Education and Oversight to Successfully Navigate the 340B Program

TIP: Dedicating resources and ensuring team members have access to education & information are essential to successfully navigating the 340B program.

The 340B program, with its complexities and frequent regulatory updates, demands careful attention to maximize savings and ensure compliance. To effectively manage the program, it is important that to dedicate resources capable of overseeing the various components of the program, emphasize thorough training, and facilitate access to essential resources.

Investing in Continuous Education: Keeping staff updated on compliance requirements and the ever-evolving legislative and pharmaceutical manufacturer changes is essential. Continuous education initiatives enable team members to accurately navigate the program’s complexities. Training in proper data management practices emphasizes the importance of data integrity in maintaining compliance and preventing costly consequences.

Prioritizing Oversight and Resources: Successful 340B programs often allocate dedicated resources for oversight, provide ongoing learning opportunities for the team to stay current with regulatory changes. Ensuring resources are dedicated to programmatic reviews can also help prevent errors and enhance program performance.

Encouraging a Culture of Learning: Promoting a culture of continuous learning can uplift staff morale and empower team members to tackle challenges with confidence. By ensuring adequate resources are available for programmatic reviews, organizations can achieve greater success with their 340B program.

Fostering Collaboration: Collaboration with internal and external stakeholders is essential. This includes working with pharmacies, manufacturers, and regulatory bodies to streamline operations and address any issues promptly. Effective communication and partnerships can lead to improved program outcomes and increased savings.

By adopting a proactive approach to education, oversight, and collaboration, organizations can navigate the complexities of the 340B program with confidence. This strategy not only ensures compliance and maximizes savings but also enhances the overall effectiveness of the organization. Embracing these practices will lead to sustained success and better outcomes for patients.

Expert Tip: Invest in Education and Oversight to Successfully Navigate the 340B Program

TIP: Dedicating resources and ensuring team members have access to education & information are essential to successfully navigating the 340B program.

The 340B program, with its complexities and frequent regulatory updates, demands careful attention to maximize savings and ensure compliance. To effectively manage the program, it is important that to dedicate resources capable of overseeing the various components of the program, emphasize thorough training, and facilitate access to essential resources.

Investing in Continuous Education: Keeping staff updated on compliance requirements and the ever-evolving legislative and pharmaceutical manufacturer changes is essential. Continuous education initiatives enable team members to accurately navigate the program’s complexities. Training in proper data management practices emphasizes the importance of data integrity in maintaining compliance and preventing costly consequences.

Prioritizing Oversight and Resources: Successful 340B programs often allocate dedicated resources for oversight, provide ongoing learning opportunities for the team to stay current with regulatory changes. Ensuring resources are dedicated to programmatic reviews can also help prevent errors and enhance program performance.

Encouraging a Culture of Learning: Promoting a culture of continuous learning can uplift staff morale and empower team members to tackle challenges with confidence. By ensuring adequate resources are available for programmatic reviews, organizations can achieve greater success with their 340B program.

Fostering Collaboration: Collaboration with internal and external stakeholders is essential. This includes working with pharmacies, manufacturers, and regulatory bodies to streamline operations and address any issues promptly. Effective communication and partnerships can lead to improved program outcomes and increased savings.

By adopting a proactive approach to education, oversight, and collaboration, organizations can navigate the complexities of the 340B program with confidence. This strategy not only ensures compliance and maximizes savings but also enhances the overall effectiveness of the organization. Embracing these practices will lead to sustained success and better outcomes for patients.

Ready to get started?

Ready to get started?

The Pillr Health team is here to empower your 340B program, and beyond. Reach out at the link below.

The Pillr Health team is here to empower your 340B program, and beyond. Reach out at the link below.

Ready to get started?

The Pillr Health team is here to empower your 340B program, and beyond. Reach out at the link below.