pharmacy benefits managers

The final version of a pharmacy benefit manager reform bill received approval from lawmakers — but some raised concerns that a policy in the legislation would increase drug costs for Hoosiers.

Pharmacy benefits managers, or PBMs, are meant to lower drug prices by acting as a middleman between drug manufacturers and either insurance companies or employers who sponsor health plans. Advocates said employers and consumers often don’t understand what PBMs are and how they work.

Indiana has some of the highest health care costs in the country — and lawmakers continue to look into what’s causing them. This year’s Health Care Cost Oversight Task Force began with some questions and concerns around pharmacy benefits managers, or PBMs.