Often seen as a clever way to play the coming generic-drug wave, the pharmacy benefits management (PBM) industry has found itself thrust further into the spotlight, thanks to another large customer changing hands and one potentially damaging split.
CalPERS, California's public-employee pension manager, has settled on a new PBM provider after a state investigation discovered potential improprieties with the old provider, Medco Health
This is the second time in a month that CVS poached a large Medco client, after gaining the Blue Cross Blue Shield Association and its $3 billion of annual revenue at the end of May. Not only does it validate CVS's combined business model, but the loss of these large clients will also potentially weaken Medco's purchasing power, making Medco less competitive going forward. In fact, if UnitedHealth Group
They might not need any medication, but here's hoping Express Scripts