UnitedHealth Group’s Optum Rx, CVS Health’s Caremark and Cigna’s Express Scripts will reportedly be the targets of the FTC’s suits.
The Federal Trade Commission is planning to sue three large U.S. health companies over their practices as middlemen who negotiate prices for medications such as insulin, a person familiar with the matter told CNBC.
PBMs sit at the center of the drug supply chain in the U.S. They negotiate rebates with drug manufacturers on behalf of insurers, large employers and others. They also create lists of medications — or formularies — that are covered by insurance and reimburse pharmacies for prescriptions. Six of the largest PBMs handled nearly 95% of the prescriptions filled in the U.S., the FTC's report said.
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