Senate Democrats Target Pharmacy Benefit Managers, Distributors

Two Democratic Senators are taking aim at pharmacy benefit managers and drug distributors over rising drug prices.

Elizabeth Warren of Massachusetts and Tina Smith of Minnesota dispatched letters to major PBMs and distributors asking them to respond to “extremely disturbing allegations” that their companies may have prevented drug companies from lowering their prices by threatening to leave cost-cutters off of pharmacy formularies.

“If they are true, these allegations suggest that PBMs and drug distributors are acting to maintain high list prices in order to maintain high profit margins, potentially raising antitrust concerns,” the June 29  letters state.