By NextBestFitPBM gross profit lost
Pharmacy benefit managers' rebate retention, spread pricing, and administrative fees end when UHA pays pharmacies directly.
Result
−$28.0B
Per resident, per year
−$82
÷ 341.1M people
Per household
−$212
÷ 132.2M households
How it's calculated
| # | Step | Arithmetic | Value |
|---|---|---|---|
| 1 | PBM gross profit lost | −$28.0B | |
| 2 | Per resident, per year (what everyone was paying for it) | $28.0B ÷ 341.1M | $82 |
Inputs used
| Input | Kind | Value |
|---|---|---|
| PBM gross profit (rebates, spread, fees) | estimate, low confidence | $28.0B |
Trade-off: Intermediaries' revenue is the system's administrative cost; ending it saves money and ends their jobs and business.