Share Copy link Email LinkedIn X/Twitter Facebook Print Employers are looking for a simpler pharmacy benefits model, particularly an approach that eliminates rebates to send savings directly to patients, according to a survey released last week. More than 90% of employers surveyed agreed a rebate-free model would improve transparency into prescription drug prices, according to the research by communications and reputation management firm Penta Group for Evernorth Health Services, which operates the Express Scripts pharmacy benefit manager. Additionally, 91% said an approach that removed rebates is easier to understand, and 90% reported it would improve employee satisfaction and drug affordability. PBMs are intermediaries in the drug supply chain who manage prescription drug benefits for payers, including negotiating rebates from drugmakers, creating medication formula…

For example, critics argue the drug middlemen prefer more expensive drugs with higher rebates from manufacturers, given they often earn a portion of the rebates they negotiate. Employers seem to prefer a model that removes rebates altogether, according to the report, which surveyed 300 employers with at least 1,000 workers. Eight-seven percent of respondents said a rebate-free approach better aligns with their organization’s needs, while 86% said a model without rebates would improve the predictability of pharmacy spending. “This data confirms employers want pharmacy benefits that are easier to understand, easier to budget for, and designed around the experience of the people they cover,” Ashley Holzworth-Nash, vice president of retail network product strategy and solutions at Evernorth, said in a statement.