CVS Changing , the Way It Determines , Prescription Drug Prices.
CVS has announced it will revamp the way
it makes reimbursement payments to
pharmacies for prescription medications.
CNN reports that the move could result in simpler
prescription drug pricing and change the way
consumers purchase their medications.
CNN reports that the move could result in simpler
prescription drug pricing and change the way
consumers purchase their medications.
In a December 5 announcement, CVS said the new
reimbursement model would be more transparent
in regards to the chain's drug pricing system.
In a December 5 announcement, CVS said the new
reimbursement model would be more transparent
in regards to the chain's drug pricing system.
The new CVS CostVantage system will use a simple
formula that includes the cost of drugs, a set markup
price and a fee to determine the cost of medications.
The new approach is set for
a 2025 commercial launch.
CNN reports that CVS executives said that the shift in
payment methods could result in certain drugs costing
less, while other medications would increase in price.
We are leading with an approach that
will shift how our retail pharmacy is
compensated by implementing a more
transparent and sustainable model that
fairly aligns pharmacy reimbursement
to the quality services we provide, Prem Shah, President of CVS Pharmacy and
chief pharmacy officer at CVS Health, via CNN.
It provides our [pharmacy benefit
managers] and payor clients a
foundational step towards more
pricing clarity for consumers, Prem Shah, President of CVS Pharmacy and
chief pharmacy officer at CVS Health, via CNN.
According to the Organization for Economic
Cooperation, U.S. consumers spend an average
of $1,200 every year on prescription drugs.
The Kaiser Family Foundation says that one out of
three adults in the U.S. say they have been unable
to take prescribed medications due to their cost.