Integrated cost management to meet your unique needs
Our solutions help you make the right choices for your business and your plan members. We’re committed to providing robust options helping you optimize cost and affordability across traditional and specialty drugs
Since 2012, with the first formulary removals, we’ve been evolving with our clients’ needs. And when we created Red Oak in 2014 to ensure reliable access to generic drugs and applied new-to-market reviews, the rest of the market followed our lead. These innovations are now the standard for pharmacy benefit managers (PBMs).
Our approach to managing costs and delivering a great member experience is focused across the entire course of therapy. We offer clients a range of proven solutions to help manage traditional drug costs, such as managed formularies, PBM-negotiated discounts and rebates, generics, preventive drug lists, clinical services, and preferred pharmacy networks. Integrating these approaches with specialty cost management puts our connected model to work for you.
As the specialty landscape continues to evolve, close surveillance of industry trends and the drug pipeline provides new opportunities to lower costs and improve care. These conditions are complex, making patient support and clinical engagement crucial to improving outcomes and managing spend. Through our reach, experience, and expertise, CVS Caremark brings solutions that drive value for you and your members in ways that no other PBM can.
47% savings on overall pharmacy spend with full program adoption
96% member satisfaction
$20.28 PMPM member savings for well-managed clients compared to commercial cohort
Our integrated cost management solutions
We’re constantly innovating to uncover new cost savings for you and your members. See how our solutions can help you achieve your goals
Formulary
Learn how formulary options help ensure lower client costs while preserving member access to clinically appropriate medications.
Utilization management
Ensure appropriate utilization across the duration of therapy for enhanced savings
Networks
Reduce plan costs and eliminate waste by decreasing pharmacy redundancy without impacting access.
Fraud, waste, and abuse
Protect members and control costs with multi-level prescription safety and fraud prevention programs
Pipeline surveillance
Leverage robust pipeline insights to anticipate new market entrants that may drive increased utilization
Case study
Our history of formulary innovation
We're proud to share our long history of bringing innovative solutions to market that have the consumer and member at the center and drive sustainable cost savings.
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CVS Caremark.
Our history of formulary innovation.
Innovation is in our DNA.
We have a proven history of evolving our model to help you stay ahead.
2012: First PBM to narrow the formulary.
Delivering low net cost while ensuring clinically appropriate coverage.
$4.8 billion in client savings in 2023.
98.6% of members do not experience changes from formulary removals.
2014: Created Red Oak, a large generic purchasing consortium.
Ensuring members can count on reliable, affordable access to generic drugs.
About 90% of all prescriptions dispensed today are generics.
2017: First to add biosimilars to formularies.
Creating additional value for clients and members.
94% of members adopted preferred biosimilars in specialty categories.
2018: Invested over $100 million in electronic health record connectivity with providers and members.
Supercharging the ways we improve health outcomes and maximize savings.
8.5 million members with active coverage registered on Caremark.com.
Connected with 72,000 specialty prescribers and 7,800 health systems.
2023: Introduced formulary optionality.
Disrupting the market's reliance on rebates with low-list price strategies.
2023: Introduced CVS Cost Vantage and CVS Caremark True Cost.
Bringing greater transparency and simplicity to pharmacy pricing.
2023: Launched Cordavis, a wholly owned subsidiary.
To co-manufacture and commercialize high-quality prescription drugs, ensuring a competitive and dynamic market.
We are successfully executing on our strategy to advance the future of health care while unlocking new value for consumers.
Karen Lynch, CVS Health President and CEO.
$138 in savings per member expected from our managed formularies.
What's next?
We'll continue to innovate for you.
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