Recently, major health insurer Blue Shield of California announced it would drop its traditional pharmacy benefit manager (PBM) and instead partner with innovative companies to save $500 million overall when offering its 4.8 million members pharmacy benefits. This news represents a major shift in the health care landscape. Finally, the unbundling and disintegration of the PBM market has a path forward to unlock the value that ultimately belongs to those who need the medication.  

Many have questioned why Blue Shield of California is staying on with CVS Caremark for Specialty Drugs, which account for 49% of total pharmacy costs for U.S. employers by one estimate. The fact is, all PBMs must rely on multiple specialty pharmacies because there’s not one single pharmacy that can supply all specialty drugs. For specialty, a network will always be needed. 

However, it’s still laudable that Blue Shield of California is taking a stance on what the future of pharmacy benefits could look like. Here’s the question I have: How are the entities going to talk to each other so that the employee-member knows where to go for what, and coordinate across the system? 

Complete your profile to continue reading and get FREE access to BenefitsPRO.com, part of your ALM digital membership.

Your access to unlimited BenefitsPRO.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical BenefitsPRO.com information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com

Already have an account?


NOT FOR REPRINT

© 2023 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

 

BenefitsPRO Broker Expo 2024Event

The premier educational and networking event for employee benefits brokers and agents.

Get More Information
 

BenefitsPRO Broker Expo 2024Event

The premier educational and networking event for employee benefits brokers and agents.

Get More Information
 

BenefitsPRO Broker Expo 2024Event

The premier educational and networking event for employee benefits brokers and agents.

Get More Information
 

BenefitsPRO

Join BenefitsPRO

Don’t miss crucial news and insights you need to navigate the shifting employee benefits industry. Join BenefitsPRO.com now!

  • Unlimited access to BenefitsPRO.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
  • Exclusive discounts on BenefitsPRO.com and ALM events.

Already have an account? Sign In Now
Join BenefitsPRO

Copyright © 2023 ALM Global, LLC. All Rights Reserved.