Pharmacy benefit management savings in Medicare and the commercial marketplace and the cost of proposed PBM legislation, 2008-2017

May 2007
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National Economics and Statistics group: Pharmacy benefit management (PBM) and the cost of legislation

At a glance

PwC developed a report for the Pharmaceutical Care Management Association (PCMA) that estimates the value of pharmacy benefit management as well as the potential impact of enactment of proposed legislation that would restrict pharmacy benefit management (PBM) activities. This report provided an objective analysis of the savings achieved by PBMs.

The Pharmaceutical Care Management Association (PCMA) retained PwC to estimate the value of pharmacy benefit management as well as the potential impact of enactment of proposed legislation that would restrict pharmacy benefit management (PBM) activities for consumers, private employers, health plans, unions, and state and federal governments.

This report provided an objective analysis of the savings achieved by PBMs and organizations that provide PBM functions. These savings could be at risk, depending on the outcome of various legislative proposals.

Knowing the savings achieved through various pharmacy benefit methods, policymakers can make better decisions about the outcomes of such legislative proposals.

Republished with permission from the Pharmaceutical Care Management Association (PCMA), 2007.