Pharmacy benefit managers in Kentucky pocketed $123.5 million in 2018 through “spread pricing,” according to a report from the state Cabinet for Health and Family Services.
The report found that PBMs were paid $957.7 million in 2018, $123.5 million of which the PBMs retained under the “spread pricing” model, which allows PBMs to keep portions of rebates. PBMs reaped 12.9 percent more than they did in 2017, according to the report.
Since 2017, the report notes, 20 states have passed more than 30 bills relating to PBM regulations. For example, Oklahoma and Ohio passed legislation requiring PBMs to switch from spread pricing to a more transparent “pass-through” model.