CVS Health's Caremark has reached a settlement with the FTC, agreeing to count TrumpRx drug purchases toward deductibles and curb rebate practices. The deal aims to lower drug costs for consumers.
The settlement is expected to lower prescription drug costs for consumers by ensuring that purchases made through the TrumpRx program count towards deductibles and by curbing rebate practices that can inflate prices.
CVS Health's Caremark has finalized a settlement with the U.S. Federal Trade Commission, agreeing to count purchases made through the TrumpRx drug website toward consumers' deductibles and to reduce the use of after-market discounts known as rebates. The deal, similar to one Cigna reached earlier this year, aims to address practices that critics argue contribute to high drug costs.
FTC Chairman Andrew Ferguson stated that the settlement is expected to result in billions of dollars in savings for American consumers on drug prices. He emphasized that the FTC, under President Trump, will not tolerate anticompetitive behavior that inflates prices.
President Donald Trump launched TrumpRx.gov in February, a website designed to offer a variety of generic and branded drugs at discounted prices, with a specific focus on popular weight-loss medications from Eli Lilly and Novo Nordisk. Health plan deductibles require members to pay a minimum amount out-of-pocket before their insurance coverage begins. While TrumpRx.gov directs cash-pay customers to drugmaker websites for discounts, its operation outside of traditional insurance channels has limited its utility for some consumers.
As part of the settlement, CVS must also provide an option for its clients to opt out of rebate payment models. These rebates are typically paid by drug manufacturers to pharmacy benefit managers and may not always be fully passed on to plan sponsors or consumers.