Health Populi October 9, 2024
Jane Sarasohn-Kahn

In the past week, a few major events bring the nature of pharmacies and the market for retail pharmacy into sharp view:

First, news that CVS is undergoing self- and market-scrutiny about its business — specifically, the company’s vertical integration and financial punishment wrought by the organization’s insurance group, Aetna, leading to considering the break-up of the company into certain parts (whether the insurance business, the retail pharmacy, the specialty pharmacy unit, etc.).

Second, the PBM (pharmacy benefit management) business has come under harsh light from the FTC and Congress, most recently resulting in a lawsuit filed by the FTC against the three largest drug benefit managers, Caremark Rx, Express Scripts (ESI), and OptumRx, for “artificially inflating” insulin drug prices.

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