Pharmacy Benefit Managers (PBMs) are a hidden force in the pharmaceutical industry, often times referred to as the middleman between insurance companies and drug manufacturers. While they were created to lower prescription drugs costs, they have quietly monopolized the marketplace and engaged in anticompetitive practices. As a result, patients have been left with skyrocketing prices for life-saving medications while PBMs have lined their pockets.
This week, the House Oversight Committee convened for a hearing to investigate the ability of PBMs to manipulate prescription drug markets for more profit. PBMs wield tremendous power, and they appear to be using it to undermine patient health and drive up the cost of prescription drugs.
For example, access to insulin is as essential as breathing for many of the 34 million Diabetes patients across the country. During the hearing, I emphasized the concern of these Americans about the cost of insulin and sought clarification on how PBMs impact the prices that they are forced to pay.
Instead of offering patients the rate that PBMs have negotiated with drug manufacturers, they are charging patients the full list price of the medicine. As a result, despite the net price of insulin decreasing, patients are struggling to afford this life-saving medication.
The House Oversight Committee is working together in a bipartisan manner to break the PBM monopoly and create a more affordable prescription drug market for all. We need to rein in the unchecked power of PBMs, promote fair competition, and prioritize the health of patients. It is time to put patients over profits.
