Broker Partnership

The pharmacy benefit space is full of complexity. Innovative Rx Strategies partnered with a benefits broker in South Carolina to provide objective, dynamic pharmacy benefits consulting services. The broker partnered with Innovative to provide cutting-edge solutions and unmatched expertise to help lower pharmacy benefits costs for its clients. By partnering with an independent pharmacy benefit consultant with no preferred PBM relationships, coalition or conflicts of interest, Innovative guarantees the best possible value on pharmacy benefits plans while minimizing employee disruption.

In 2023, Innovative’s broker partnership has produced transformative results for South Carolina businesses — no matter their appetite for change. Innovative deploys strategies that range from contract renegotiation to a full-scale RFP process to create substantial savings without significant disruption.

 

Multiple Savings Approaches

The broker partnered with our team to combat pharmacy costs for two automotive dealers, each with 200 eligible lives on the plan. For both organizations, pharmacy costs were outpacing medical spend and driving increases to overall health plan costs. However, each dealership had a different tolerance for plan changes that required our team to create custom solutions.

Solution 1: Renegotiation

The first dealer wanted to minimize change and engaged our team to renegotiate their current contracts to create savings. Innovative’s negotiating power and understanding of complex pricing variables allowed the dealership to remain carved in with their current PBM while improving rebates, discounts and spread pricing.

Results:

The dealership’s initial pharmacy spend was $592,042. The contract changes created savings of $120,000, or 20% of total pharmacy spend.

Solution 2: RFP

The second dealership engaged the Innovative team and elected to conduct a full RFP. Innovative identified significant savings opportunities by carving out to a new PBM and improving pharmacy management, copay assistance and case management. Our team also ensured that 100% of rebates were passed through appropriately.

Results:

As a result of these strategic changes, the dealership was able to save nearly $315,000 on an initial spend of $875,343 — a savings of 36%.

Savings at Any Size

Innovative also partnered with the South Carolina broker to implement an RFP process for a large banking association client with 1600 covered lives on the plan.

The association hoped to identify opportunities to reduce their pharmacy spend, which hit $3,870,000 in 2022. They needed strategies to ensure the cost to provide pharmacy benefits could be sustained in the future.

Solution:

Innovative implemented an RFP process that identified upfront savings from rebates and discounts, as well as long-term cost-savings strategies such as implementing a copay assistance program that the incumbent broker had left underutilized.

Results:

At the end of the RFP process, our comprehensive approach saved the banking association $1,800,000 — a 46.5% decrease from their initial pharmacy spend of $3,870,000.

Innovative Helps Broker Create over $2.2M in Savings

Take action, create savings

Constant innovation in the pharmacy benefit space drives the cost of employer health plans higher each year. Employers cannot afford to maintain the status quo as the compounding impact of inaction will create unsustainable costs. Brokers can benefit from partnering with a pharmacy benefits consultant with the expertise to drive significant savings for clients.

Let our experts help you save today and set your plan up for reduced risk in the years to come.

Learn more about how we partner with benefits brokers to achieve client savings.

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