This paper reviews the concept of fair market value (FMV) , the relevant definitions of fair market value, enforcement actions, and case law.  It also addresses:

• Challenges to Determining FMV

• Flawed Approaches to Determining FMV

• Recommended Principles for a Defensible FMV Methodology

To avoid overpaying healthcare professionals (HCPs), pharmaceutical companies must ensure their Key Opinion Leader (KOL) evaluation models prioritize objective measures of medical expertise.

This paper addresses many of the common problems associated with existing KOL evaluation processes.

By using quantifiable criteria, clearly defined terms, and focusing on peer-judged expertise, companies can establish more reliable KOL evaluations and ensure fair market value assessments.

To determine fair market value for healthcare providers (HCPs) and avoid overpayment, pharmaceutical companies can use a scoring system to evaluate expertise for Key Opinion Leader (KOL) status. However, current models that reward breadth of experience over depth of expertise risk inflating KOL tiers and compensation with little true expertise.

To accurately assess expertise, scoring criteria must recognize significant achievements documented in CVs, regardless of the breadth of activities

When determining compensation for healthcare provider (HCP) consulting services, companies should consider their contracting leverage.

Contracting leverage refers to the company's ability to negotiate favorable terms with HCPs. It's important for companies to carefully evaluate their contracting leverage and use it strategically to determine appropriate compensation for HCP consulting services.

This article explores key factors that influence the degree of leverage companies may have when contracting with their physician speakers and consultants.