On July 23, 2024, the House Committee on Oversight and Accountability released a report on its investigation into the three largest Pharmacy Benefit Managers (PBMs), revealing significant anti-competitive practices. Key findings include:
- PBMs share patient data to direct patients to PBM-owned pharmacies, undermining competition.
- PBMs use their position to lower reimbursement rates for competing pharmacies.
- Despite claims of cost-savings, PBM practices often lead to increased costs for patients.
- Prior authorization, step therapy, and formulary manipulations delay patient care and hinder the adoption of generics and biosimilars.
- PBMs use non-transparent pricing schemes to overcharge plans and payers by millions of dollars.
- PBMs force drug manufacturers to pay rebates for favorable formulary placement, disadvantaging lower-priced generics and biosimilars.
- PBMs are currently establishing foreign corporate entities to avoid new transparency requirements and regulations.
The report underscores the need for Congress to address these harmful practices and advance legislation to protect patients, reduce drug costs, and ensure transparency and fair competition. Read the report.
Last Updated on August 8, 2024 by Aimed Alliance
