Proposed Reforms Aim to Fix Opacity and Misalignment in Drug Pricing System
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The current drug pricing system misaligns incentives between patients, PBMs, and drug companies, inflating costs.
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PBMs earn more when drug list prices are higher, so they prefer drugs with higher list prices regardless of alternatives.
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Patients pay based on inflated list prices, not lower net prices after PBM-negotiated discounts.
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Proposed Congressional reforms would require disclosure of prices/costs and delink PBM fees from list prices.
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Reforms would address opacity and misaligned incentives, improving efficiency and affordability.