Merritt: ‘New Framework Builds upon Principles Pioneered by PBMs

Washington, DC; 07.21.04 — By embracing principles pioneered by America’s pharmacy benefit managers (PBMs), today’s announcement by the Administration regarding a ten-year framework for building a health information infrastructure throughout the entire health care system marks a turning point that will improve quality, promote patient safety, help reduce costs, and, ultimately, save lives, the Pharmaceutical Care Management Association said today. PCMA is the national association representing America’s pharmacy benefit managers (PBMs).

” PBMs have been at the forefront of efforts to integrate cutting-edge technology into health care in order to improve quality, promote patient safety, and reduce health care costs,” said PCMA President Mark Merritt. “With today’s announcement, the Administration has sent a shock wave that will reverberate throughout the entire health care system. Electronic connectivity in health care can no longer be viewed simply as an alternative to the pen-and-paper status quo â?? it’s essential to saving lives and reducing health care costs.”

PBMs have long relied upon electronic connectivity to make prescription drugs safer and more effective for health care consumers. By working collaboratively with consumers, physicians, pharmacists, and purchasers, PBMs have set forth a proven model for other parts of the health care system.

The recently enacted Medicare Modernization Act mandates that electronic prescribing be adopted throughout the entire Medicare program by 2007. PCMA believes strongly that this approach will help improve beneficiaries’ quality of life by improving formulary compliance and better integrating drug regimens and, as well, help reduce the overall cost of the drug benefit to the Medicare program.

The Centers for Medicare & Medicaid Services has estimated that adoption of e-prescribing across the entire health care system could eliminate more than 2 million adverse drugs events every year. According to the Institute of Medicine, as many as 7,000 avoidable deaths occur annually because of medication errors associated with hand-written prescriptions and other paper-based communications. In addition, numerous data suggest that e-prescribing across the entire system could save tens of billions of dollars per year on prescription drug costs.

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The Pharmaceutical Care Management Association (PCMA) is the national trade association representing America’s pharmaceutical benefit managers (PBMs). PCMA member companies provide pharmaceutical care management services to more than 200 million Americans.

Contact Information:
Phil Blando
202-207-3614