Access to Prescription Digital Therapeutics Act of 2023

S 723, the Access to Prescription Digital Therapeutics Act of 2023, requires Medicare and Medicaid to cover "prescription digital therapeutics" (PDTs) starting in 2024. PDTs are defined as FDA-cleared software-based treatments for medical conditions, such as apps for diabetes management or mental health therapy. The bill establishes new payment rules for these digital treatments, including setting payment rates based on actual market pricing and requiring manufacturers to report private payor pricing and usage data annually. This directly affects Medicare/Medicaid beneficiaries seeking digital health tools and manufacturers of PDTs, who must comply with reporting requirements and face penalties for noncompliance. The law aims to integrate evidence-based digital health solutions into mainstream coverage under federal health programs.