Insurance finance committee recommends switching PBMs for district plans, cites roughly $13 million three‑year savings

Summary

The Lafayette Parish School Board Insurance Finance Committee voted to recommend OptumRx for active/non‑Medicare prescription services and MedImpact for Medicare‑eligible retirees after a market check by consultant Gallagher that the committee said would cut three‑year drug costs by about $13 million and produce earlier-year savings for reserves.

At a meeting of the Lafayette Parish School Board Insurance Finance Committee, committee members voted to recommend that the full board approve Gallagher's pharmacy benefit manager (PBM) market‑check recommendations: OptumRx for the district's active (non‑Medicare) plan and MedImpact for the district's Medicare‑eligible (EGWIP) retirees. The committee framed the recommendations as a step to reduce prescription drug spending and build reserves in the district health fund.

Gallagher consultant Melody, presenting the firm's market check, said the analysis used actual prescription claims and vendor responses to the market solicitation. "If you had purchased the exact same drugs at the exact same time, with the exact same people with us, this is what it would have cost," Melody said, summarizing the methodology. Gallagher presented a three‑year cumulative comparison that showed an estimated $7 million three‑year savings for the active (non‑Medicare) population if the district moved…

Insurance finance committee recommends switching PBMs for district plans, cites roughly $13 million three‑year savings

Summary

Subscribe to keep reading