STAT+: The biggest PBMs are handling more and more of the country’s drug price negotiations

The PBM industry has only grown despite its motto of lowering drug costs, and concerns remain about PBMs' incentives and contract terms.

Alex Schmelzer didn’t think he’d be the most-hated person in drug pricing negotiations, but he was.

Schmelzer founded a consulting firm in 2016 to help companies battle their pharmacy benefit managers, the behemoth intermediaries that negotiate drug prices, process claims, and create networks of pharmacies. Schmelzer and his colleagues pored through data and discovered many employers were paying too much for their workers’ drugs. 

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