Managed Care

PBM industry stabilizing amid mergers and spinoffs

Consolidation of large pharmacy benefit managers and efforts by major pharmaceutical manufacturers to divest themselves of their PBMs suggest that the heady days of growth in the PBM industry could be over. Now, research by SMG Marketing Group may confirm that impression. The numbers of PBMs in business and total covered lives held steady from 1997 to 1998. Still, PBMs are finding new HMO markets for their services, in part by being able to claim that they are keeping prescription-drug costs in check.


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