PBMs lower drug costs

The Washington Times Daily - - EDITORIAL -

When it comes to the price of their prod­ucts, drug com­pa­nies want the pub­lic to ig­nore what they spend on mar­ket­ing and the tax breaks they get for di­rect-to-con­sumer ad­ver­tis­ing. In­stead of ac­knowl­edg­ing their pric­ing strate­gies, drug com­pa­nies have launched a fin­ger-point­ing cam­paign at phar­macy ben­e­fit man­agers (PBMs).

The ba­sic fact: Drug com­pa­nies set the price of a drug. They can charge what­ever they feel the mar­ket will bear. To com­bat these mas­sive price hikes, PBMs are hired by em­ploy­ers, unions and health plans to ne­go­ti­ate lower drug costs.

With sky­rock­et­ing drug prices, some em­ploy­ers and in­sur­ers pro­vid­ing cov­er­age are be­ing forced to in­volve con­sumers through ben­e­fit de­signs that in­clude higher de­ductibles or in­creased cost-shar­ing health plans. In turn, drug­mak­ers are blam­ing in­sur­ers for their ben­e­fit de­signs in­stead of tak­ing re­spon­si­bil­ity for the pric­ing of their drugs.

One thing is for sure: PBMs will ne­go­ti­ate deeper dis­counts and re­bates in an ef­fort to shield Amer­ica’s con­sumers from high drug prices.

JOHN D. JONES Orange, Calif.

Newspapers in English

Newspapers from USA

© PressReader. All rights reserved.