A group of pharmacy benefit managers (PBMs) has split off from the pack, launching a “six-figure digital media campaign” to make the case that some of the widely criticized organizations provide value to the healthcare system.
PBMs have become a punching bag in recent years. PhRMA has launched a series of attacks against the sector, framing PBMs as middlemen that profit without providing value. The Big Pharma trade group has an interest in shifting the blame for the cost of drug prices from its members to PBMs, but other groups have made similar points, with pharmacies and employer representatives railing against the sector.
Against that backdrop, a group of PBMs has joined in the attacks while seeking to distance its members from the practices that have earned their industry ire. The group has formed the non-for-profit coalition Transparency-Rx and put together an ad campaign.
Transparency-Rx represents “transparent” PBMs such as AffirmedRx and Liviniti. The coalition is working to get out the message that transparent PBMs provide value, quoting a figure that local businesses that work with its members save an average of $20 per prescription compared to other PBMs. The group claims transparent PBMs cut out-of-pocket costs, accelerate access and resolve conflicts of interest.
The ad campaign is designed to get those messages to people with the power to reshape the PBM space. Transparency-Rx will run ads on news sites, cable and streaming platforms across the Beltway, a term for Washington, D.C., and in targeted markets across the U.S. The goal is to reach an audience of more than 16 million people that includes policymakers and stakeholders to inform legislation to reform PBMs.
“Medicare and the commercial market desperately need the important PBM reforms Republicans and Democrats are championing in Congress to help patients and local businesses drastically reduce medical costs,” Joseph Shields, managing director at Transparency-Rx, said in a statement.
Transparency-Rx contrasts the flat, disclosed fees charged by transparent PBMs with the “big three” PBM model. The “big three” references CVS Caremark, Express Scripts and OptumRx, companies that between them control most of the PBM market. The traditional model ties profits and fees to drug prices, potentially creating an incentive to steer patients away from generic or lower-cost drugs.
The coalition is advocating for the “delinking” of PBM fees from the price of drugs, a reform that is part of Senate PBM bills. Transparency-Rx supports other changes including a ban on spread pricing and the reform of group purchasing organizations tied to big PBMs.