What is a Pharmacy Benefit Manager (PBM)?

Small businesses that want to save money for themselves and their employees on health insurance coverage may choose a pharmacy benefit manager (PBM) to facilitate smoother prescription drug claims and payments. This type of administration assistance provides various benefits that can save time, headaches, and money in the long term. Before you decide if your small business insurance package should include a pharmacy benefit manager or not, explore all the options so you can truly understand what it can bring to the table.

Pharmacy Benefit Manager Responsibilities

 

In order to offer a viable service as a PBM, the organization must take on certain responsibilities when it comes to interacting with both your small business and see people who take prescription medications specifically.

 

  1. PBM’s negotiate lower costs and rebates for available prescription drugs.
  2. They offer mail order and delivery medication services that allow patients to receive their drugs in a convenient and affordable manner.
  3. They oversee compliance of proper medication usage and collect and analyze data about ongoing utilization of prescription drugs to promote better outcomes.
  4. A pharmacy benefit manager handles distribution of medications from multiple pharmacies and through different small businesses just like yours.

 

Depending on the PBM you choose and the insurance consulting process specific to your company, they may also take on extra responsibilities that help your workers stay healthy without breaking the bank.

 

Save on Small Business Insurance With a PBM

 

According to current business guidelines, small business insurance is required for full-time employees in most cases. Choose the best possible group health insurance plan is a great way to save some money for your company. This also affects how well your employees are cared for when it comes to medical issues and preventative care.

 

No matter what type of insurance program you choose, it always makes sense to look for additional avenues of savings to improve your company’s bottom line. A pharmacy benefit manager introduces an organizational middleman that minimizes costs by reducing base costs, paperwork, and problems related to handling prescription drugs.

 

PBM’s have been around for nearly 20 years and have become more popular as different health insurance rules go into effect. These management groups can negotiate lower costs, which helps both the business and the patient at the same time. This savings and associated services help to improve medication compliance, access to ongoing prescription support for lower income individuals, and improve outcomes for many chronic disease or disorder sufferers.

 

The decision to augment your small business insurance with a PBM depends on a lot of different factors specific to your company, finances, and employee base. Although the responsibilities and advantages of using one may seem like an exceptional idea, you may need some help to finalize the decision. With professional insurance consulting services offered by ClaimLinx, you can explore the specific options that can help you manage prescription coverage, minimize risk to your employees, and save you money on your benefits packages.