Insurer ownership of pharmacy benefit managers doesn’t appear to increase the cost of drugs in Medicare, though the jury’s still out, according to a new report from the HHS’ Office of the Inspector General. Government investigators analyzed 60 commonly used and high-cost drugs, and found the overall difference in their prices was negligible — less than 1% — between vertically integrated health plans tied to a PBM middleman and health plans that were not vertically integrated. The lack of a relationship is notable given widespread concerns that vertical integration, which is rampant in the prescription drug supply chain after years of consolidation, leads to higher drug costs and other anticompetitive outcomes like limited access and a lack of pricing transparency.
Read the full article: Vertical Integration Doesn’t Appear to Lead to Higher Drug Costs in Medicare, HHS OIG Finds //
Source: https://www.healthcaredive.com/news/vertical-integration-doesnt-appear-lead-higher-drug-costs-medicare-hhs-oig-pbms/820775/