National Drug Code Flashcards, test questions and answers

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What is National Drug Code?

The National Drug Code (NDC) is an 11-digit numeric code used in the United States to identify any medication or drug product that is available in the market. This code was introduced by the Food and Drug Administration (FDA) and is used to track drugs throughout their distribution. It uniquely identifies each drug, its manufacturer, and provides information about the packaging size, formulation, strength, marketing status, etc. The NDC is a key component of the U.S. drug safety system as it helps ensure that all drugs are properly tracked from when they are manufactured until they reach patients’ hands. This system helps decrease counterfeit drugs entering into the market since each product has a unique code assigned to it which can be checked for validity at any stage of its journey from manufacture to patient use. Additionally, this allows for improved surveillance of adverse reactions associated with certain medications since all medications can be easily identified through their NDCs when reported to regulatory authorities such as FDA or Centers for Disease Control and Prevention (CDC). Another important role of NDCs is that they provide necessary information for insurance companies who need to know what medications their customers are taking in order to process claims accurately and efficiently. As a result of increased tracking capabilities due to using unique codes like NDCs, insurance companies are able to better manage costs associated with prescription drug coverage while also ensuring that proper reimbursement levels are provided for legitimate prescription claims submitted by patients or pharmacies across the country. Overall, National Drug Codes have been extremely valuable in improving patient safety and accuracy throughout the United States’ healthcare system as well as providing important information for insurance companies regarding prescription claims processing efficiency and cost management.