The U.S. Federal Trade Commission is reversing years of prior advocacy in support of pharmacy benefit managers amid increased scrutiny of the controversial role these companies play in the U.S. pharmaceutical supply chain.
During a Thursday meeting, the agency plans to issue a statement “cautioning against reliance” on previous advocacy statements and studies that “no longer reflect current market realities” about pharmacy benefit managers. The shift comes in response to efforts by pharmacy benefit managers to point to past statements in order to blunt legislation designed to alter their business practices.
Pharmacy benefit managers are linchpins in the pharmaceutical pricing system and under a microscope for allegedly driving up consumer costs. The three largest pharmacy benefit managers — CVS Caremark, Cigna’s Express Scripts, and UnitedHealth Group’s OptumRx — control nearly 80% of the U.S. market, and also operate mail-order pharmacies.