Have you talked to any pharmacies? Do you really understand how the PBMs work? Before you make these statements, maybe you should. Any cost increase that has been discussed, does not address that the PBM's profit is extra ordinary. The NADAC pricing has been proven to save money. Have you looked at spread pricing, rebates, fees and how they pay the PBM owned pharmacies? The monopoly the PBM's have far exceeds any ones wildest dreams. We want the businesses to save money and control their cost. This legislation is a start for both the payer and ALL pharmacies.
I understand this issue well—I worked on it when I served in the House. The system that has evolved around pharmacy benefit managers and drug pricing is clearly one that too often puts the patient last.
However, it’s important to recognize how we got here. The problem expanded significantly in 2003 when President George W. Bush and Congress created Medicare Part D and expanded Medicare to cover prescription drugs. While the claim may have been to help seniors , adding another large government subsidy inevitably reshaped the market.
As we’ve seen many times, when government intervenes heavily in a market—through subsidies, mandates, and regulations—it often produces unintended consequences that make systems more complex and expensive rather than more efficient.
If someone believes this will be the one case where additional government rules and regulations will fix the problem, they have far more faith in government than I do—and they’re ignoring a long history of policy outcomes.
The real solution is to reduce the layers of government control, subsidies, and distortions that have built up in the system. That’s not an easy task politically, because even many self-described conservatives support government benefits when they personally receive them. But if we want a system that truly prioritizes patients and affordability, we need to move toward a freer and more transparent market.
Dana, what do you think should be done?
Have you talked to any pharmacies? Do you really understand how the PBMs work? Before you make these statements, maybe you should. Any cost increase that has been discussed, does not address that the PBM's profit is extra ordinary. The NADAC pricing has been proven to save money. Have you looked at spread pricing, rebates, fees and how they pay the PBM owned pharmacies? The monopoly the PBM's have far exceeds any ones wildest dreams. We want the businesses to save money and control their cost. This legislation is a start for both the payer and ALL pharmacies.
I understand this issue well—I worked on it when I served in the House. The system that has evolved around pharmacy benefit managers and drug pricing is clearly one that too often puts the patient last.
However, it’s important to recognize how we got here. The problem expanded significantly in 2003 when President George W. Bush and Congress created Medicare Part D and expanded Medicare to cover prescription drugs. While the claim may have been to help seniors , adding another large government subsidy inevitably reshaped the market.
As we’ve seen many times, when government intervenes heavily in a market—through subsidies, mandates, and regulations—it often produces unintended consequences that make systems more complex and expensive rather than more efficient.
If someone believes this will be the one case where additional government rules and regulations will fix the problem, they have far more faith in government than I do—and they’re ignoring a long history of policy outcomes.
The real solution is to reduce the layers of government control, subsidies, and distortions that have built up in the system. That’s not an easy task politically, because even many self-described conservatives support government benefits when they personally receive them. But if we want a system that truly prioritizes patients and affordability, we need to move toward a freer and more transparent market.