Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Pbm Procurement topic
No spam. Unsubscribe anytime.
GIC selects Mercer as PBM consulting partner to guide a pharmacy procurement
Summary
The commission authorized staff to contract with Mercer to serve as PBM procurement consultant; staff picked Mercer after finalist interviews because of pharmacy subject‑matter expertise and public‑sector experience and will use the consultant to design a procurement that can evaluate both traditional PBMs and non‑traditional models.
The Group Insurance Commission authorized staff to contract with Mercer as the apparent successful bidder to provide pharmacy benefit management (PBM) consulting services and support a pharmacy procurement ahead of fiscal 2028.
Why it matters: Commissioners said pharmacy spending — including but not limited to GLP‑1 drugs — is a major driver of rising premiums and that the GIC needs a procurement designed to evaluate both traditional PBM arrangements and alternative models that may deliver greater net cost reductions and transparency.
Selection process: Staff received proposals from incumbent Willis Towers Watson, Lockton, Mercer and Seagull and shortlisted Willis, Mercer and Seagull. After finalist interviews and reference checks, the sourcing team awarded best‑value points to Mercer for its technical responses, subject‑matter expertise and public‑sector experience. Staff noted Mercer previously provided similar services to the GIC and has a local pharmacy lead on its team.
Commission questions and legal note: Commissioners asked whether consulting engagements should be bundled across procurements for efficiency; staff said scope timing and subject‑matter expertise support separate procurements. General counsel reminded the commission that detailed procurement discussions can be limited in public settings while the procurement remains active.
Vote and next steps: Commissioners moved and seconded a motion to authorize contracting with Mercer; the roll call vote was unanimous among voting commissioners. Staff expects to deliver contractual and procurement materials to commissioners and to involve Mercer in designing an RFP that captures alternative PBM models, improved pricing transparency and data granularity.
