Here are three of the big ideas Azar laid out Monday, three days after President Trump unveiled a blueprint to lower the cost of prescription drugs that was criticized for being light on substance.
1.Restructure the way pharmacy benefit managers deal with drugmakers
Alex Azar believes that PBM should be eliminated. That will most likely not happen, but he believes that they are a destruction to pharmacies. He said that,” They’re taking money from both sides,” Azar said. “They’ve built into their system a regime where they get more money when the list price goes up.”
Pharmacy Benefit Managers are the companies that administer prescription drug plans for insurance companies or employers.
Azar said he wants PBM’s to create contracts that are based on a set price for drugs. Right now, contracts are a percentage based-rebate.
He wants to stop PBM’s from making money from pharmaceutical companies. Instead, the companies would earn money only from the fees paid by the insurance companies or employers who hire them.
2.Change the way Medicare pays for expensive drugs
Azar hopes to simplify the way Medicare pays for expensive drugs. He wants to move expensive drugs, like cancer drugs, into the standard Medicare prescription drug program.
3. Make drug prices more transparent
Azar says he is looking at whether he can require drug companies to include the price of their products in those television ads that already include seemingly endless lists of scary side effects.
Cosmo Insurance Agency is an independent insurance agency serving surrounding communities in New Jersey. Cosmo keeps its promise to assure an efficient and creative approach to the services we offer. Each of our clients experience a personalized and long-term relationship with us. Our New Jersey based team of health brokers guides our clients in helping them choose the most cost-effective options. By incorporating the latest in technology-based tools and laws on healthcare, employee benefits, life insurance and finance, we keep our clients up-to-date with the plans that encompass all of their needs, whether it is individual or group insurance.
GET A HEALTH INSURANCE QUOTE NOW
LEARN MORE ABOUT HEALTH INSURANCE
GET A DENTAL INSURANCE QUOTE
