FTC Investigates Pharmacy Middlemen for Price Inflation

The Federal Trade Commission (FTC) has raised concerns about Pharmacy Benefit Managers (PBMs) inflating drug prices, especially for lifesaving drugs like cancer medications, and harming independent pharmacies. The FTC's interim report highlights how PBMs, like CVS Caremark, Express Scripts, and Optum RX, control over 80% of prescriptions in the US and may engage in anticompetitive practices. These PBMs, integrated into large health care conglomerates, have significant power in negotiating drug prices and access. The FTC's investigation aims to address opaque PBM practices that potentially drive up costs and limit pharmacy options, particularly affecting rural communities and patients' ability to afford essential medications.