Urban, Suburban, and Rural Beneficiaries Have on Average Access to 21 Competing Pharmacies Near Independent Pharmacy

(Washington, DC)—The Pharmaceutical Care Management Association (PCMA) issued the following statement today regarding the savings and broad access provided by Medicare prescription drug plans (PDPs) in Part D. PCMA is the national association representing America’s pharmacy benefit managers (PBMs), which administer prescription drug plans for more than 210 million Americans with health coverage provided through Fortune 500 employers, health insurance plans, labor unions, and Medicare Part D:

“Proven PBM tools utilized in the Medicare drug benefit have provided millions of seniors with deeper-than-expected savings and increased access on their necessary prescription drugs. A recent study from PricewaterhouseCoopers (PwC) found Medicare PDPs achieved higher-than-expected savings of 29 percent during 2006 and are on track to save Medicare and its beneficiaries $469 billion over the 2006-2015 period if current performance is maintained.

“In addition to obtaining tremendous savings, beneficiaries in Part D also have the option of shopping for their prescription medicines at a number of different pharmacies in an increasingly competitive marketplace. Researchers from SK&A Information Services yesterday reported that consumers have broad access to pharmacy choices in urban, suburban, and rural areas, as an average of 21 pharmacies are located and compete near independent pharmacies throughout the United States. Consumers shopping at these various pharmacies also have the protection provided by a PBM in negotiating deep discounts since nearly all pharmacies are part of a PBM network.

“While PBMs are increasing savings and access for beneficiaries, the independent drugstore lobby continues to push an agenda that only increases costs for the program and seniors. The mandating of ‘prompt pay’ standards and other self-interested provisions would increase Medicare costs by tens of billions of dollars, while also increasing beneficiaries’ premiums, cost-sharing, and out-of-pocket costs.

“Policymakers should take note of the clear differences between the benefits provided by PBMs in the drug benefit and the very costly measures the independent drugstore lobby is seeking.”

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PCMA is the national association representing America’s pharmacy benefit managers (PBMs), which lower the cost of prescription drugs for more than 200 million Americans with coverage provided through Fortune 500 employers, health insurers, labor unions, and Medicare Part D

Contact Information:
Phil Blando, 202-207-3614
Charles Coté 202-207-3605