MedImpact’s High-Cost Generic Program Wins PBMI Excellence Award
March 7, 2017 (SAN DIEGO) -- MedImpact, the nation’s largest privately held pharmacy benefit manager (PBM), was awarded PBMI’s Excellence Award in the Cost Containment category for its submission on Strategic Management of High-Cost Generics. The annual PBMI Excellence Award recognizes six organizations for their exceptional contributions across the PBM industry.
“We are pleased to recognize MedImpact for excellence in the area of cost containment for their High-Cost Generics Program,” said Jane Lutz, Executive Director of PBMI. “With the rising costs of some generic medications, we applaud MedImpact for helping members continue to find the lowest cost alternative for their therapy.”
The award recognizes MedImpact’s innovative High-Cost Generics Program, which saves plan sponsors up to $3.87 per member per month (PMPM). The program identifies high-cost generics that have clinically appropriate, lower-cost alternatives, and conducts member-specific prescriber outreach to encourage a switch to the lower-cost drug.
“As a trend-focused PBM delivering value to our plan sponsors, MedImpact is committed to offering programs that reduce costs with minimal impact to members,” says Greg Watanabe, President and COO of MedImpact. “MedImpact’s High-Cost Generic Program is unique. It incorporates strategies to educate members, prescribers and dispensing pharmacists on reducing the use of high-cost drugs with lower-cost alternatives.”
Generics can be automatically substituted for their brand counterparts, and are generally perceived as less expensive than brands. However, generic drug manufacturers may increase the costs of medications or introduce slightly different generic formulations. As the price of a generic drug increases, budget impact can be significant without watchful oversight.
MedImpact’s High-Cost Generics Program targets generic drugs with a monthly cost of more than $60, approximately 14 percent of generic claims, and drives behavior change for members to switch to lower-priced generics by:
- Implementing a cost-share differential between high-cost generics and lower-cost alternatives
- Sending member and prescriber information on lower-cost alternatives
- Delivering custom point-of-sale messages to pharmacies
The High-Cost Generics Program is one of MedImpact’s programs and services dedicated to driving to lowest-net cost without sacrificing member satisfaction.
MedImpact, an independent, trend-focused pharmacy benefit manager (PBM), is the nation’s largest privately held PBM, serving health plans, self-funded employers and government entities. Our business model is unique. We focus on effectively managing client pharmacy benefits to promote Lower Cost and Better Care through One Source. Our model aligns us with our clients. We help promote prescribing of lower-net-cost, medically appropriate drugs with fulfillment at the most appropriate participating pharmacy providing competitive pricing, good value and high-quality service. Our number-one goal is client satisfaction by providing flexible solutions and member-centric products with a focus on lowest-net cost and quality outcomes. For more information, go to: https://pbm.medimpact.com/
The Pharmacy Benefit Management Institute is dedicated to unraveling the complexities of pharmacy benefit management by providing research, continuing education, and Web resources that help organizations work effectively with their pharmacy benefit managers to improve the overall management of drug benefit programs. Learn more at www.pbmi.com.