WASHINGTON (NEXSTAR) – Lawmakers on Capitol Hill are grilling companies they say inflate drug prices and hurt patients.
“The cost of prescription drugs has gone up every year for 15 years,” said Rep. James Comer (R-Ky.)
Kentucky Congressman James Comer and a bipartisan group of lawmakers blame pharmacy benefit managers or PBMs.
They serve as middlemen between drugmakers and health insurers, negotiating drug prices.
Executives of the country’s top PBMs were on Capitol Hill Tuesday. Lawmakers grilled them over anticompetitive practices they say hurt patients.
“You guys are forcing yourselves on your customers,” said Rep. Eric Burlison (R-Mo.)
In a new report, the House Oversight committee found PBMs pricing methods lack transparency and cost patients more.
PBM leaders pushed back. CVS Caremark President David Joyner says the company has shifted most of their prescriptions to generics to lower prices.
“Let me be clear. We do not contribute to the rising list prices,” said Joyner.
Optum RX CEO Dr. Patrick Conway says drug manufacturers are behind the soaring costs.
“In 2023, the median annual list price for a new medicine was $300k, a 40% increase from 2021,” said Dr. Conway.
The committee’s report also found PBMs steer patients away from independent pharmacies, many of which are now closing.
Congresswoman Shontel Brown of Ohio says, “Experts project nearly one third of all independent pharmacies will be forced to close by the end of this calendar year.”