Back-end validations are the set of checks Beacon performs after a 340B pharmacy or medical claims has been successfully ingested into the platform. These validations evaluate data consistency, program eligibility, and compliance with HRSA guidance and manufacturer policies before claims are approved for rebate consideration.

Back-end validations occur after a claim submission passes all front-end validations and is ingested into Beacon. At this stage, Beacon evaluates the claim against regulatory, policy, and eligibility requirements that cannot be fully assessed before ingestion.

These validations help ensure that each claim is not only structurally correct, but also eligible for a 340B rebate.

Back-end validations are designed to:

Only claims that pass back-end validations are eligible for rebate payments.

Beacon’s back-end validations generally fall into three primary categories:

These validations assess whether submitted values are valid, active, and appropriate at the time of dispense or administration. The data values check verifies that:

Claims with invalid data values are flagged as ineligible for rebate payment.

Beacon applies validations that enforce HRSA’s 340B program requirements, including rules historically enforced at the point of sales.

Active HRSA Registration – 340B claims must be dispensed or administered at a covered entity or contract pharmacy of the covered entity that is actively registered with HRSA at the date of dispense or administration.

Non-duplication of Rebates – Only a single 340B rebate will be paid for any individual dispense or administration of the drug. Beacon will prioritize the 340B rebate payment of the first eligible submission of the 340B claim. Duplicate submissions of pharmacy claims are identified using the combination of prescription number, date of service, NDC and service provider ID. A subsequent pharmacy claim submission with the same combination of these fields as a conforming 340B claim submission will be flagged as duplicative. For medical claim submissions the combination of fields includes the claim number, claim line number, date of service, NDC, service provider ID and HCPCS modifier code.

Submission Timeliness – 340B claim submissions must be made within 45 days of the date of dispense or administration. This timeline does not reset to the date of the initial claim submission in instances where the initial claim submission is invalidated.

WAC Purchasing Timing – WAC purchases must be made within the 340B covered entities’ 340B account prior to the submission of the 340B claim to Beacon. The date of dispense is not required to predate the WAC purchase, though the 45-day submission timeline is based on the date of dispense and not the date of the WAC purchase.

Orphan Drug Provisioning – 340B pricing for orphan drugs may not be available for certain covered entity types established through passage of the Affordable Care Act.

Participating pharmaceutical manufacturers have established reasonable conditions for 340B sales. These validations ensure alignment with these pharmaceutical manufacturer conditions.

Data validations performed in Beacon include:

Contract Pharmacy Eligibility – Only contract pharmacies designated as eligible within 340B ESP are eligible.

Limited Distribution Networks – Some drugs may only be dispensed through specific pharmacies, established by a manufacturer’s limited distribution network — whether a 340B priced product or not.

Aberrant Quantities – Claims with dispensed or administered quantities that exceed expected thresholds may fail validation.

Policy Affective Dates – Claims with a date of service prior to January 1, 2026 are ineligible — except for a limited number of un-replenished 340B claims.

If you have questions or need additional help, our team is here for you — please feel free to reach out using any of the contact options below:

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