PBMs: They Make More When You Spend More: Inside the PBM Business Model (VHV fundamentals episode)
Description
One of America's largest pharmacy benefit managers (PBMs) just announced they'll stop taking rebates from drug manufacturers. The Senate's response? "Not impressed."
Why? Because rebates are just one of five profit driving "tricks" PBMs use to quietly inflate your drug costs.
In this episode, Dr. Anthony Paravati breaks down the real money flow behind prescription drug pricing, how a system designed to reduce costs does the exact opposite
You'll learn:
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The 7-player money map that explains where every healthcare dollar really goes
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The 5 PBM "tricks" that turn generics into goldmines
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How "spread pricing" means employers (and ultimately you) pay huge markups on actual drug cost
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Why regulatory capture keeps this system legal
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And why this reform moment in Washington matters right now
If you're an employer, benefits consultant, or policymaker, this episode will change how you see pharmacy costs forever.
If you're a patient, you'll finally understand why your prescriptions keep getting more expensive.
Because every dollar diverted to middlemen is a dollar not going to care, wages, or innovation.
🎧 Listen now to understand the role PBMs have played to drive annual healthcare spend in the US to a ridiculous $4 trillion.
United States
