UnitedHealthcare, Humana, CVS join new value-based prescription model

The participants in CMS’s Medicare Part D model designed to incentivize medication adherence programs will include some of the largest insurers in the U.S.

The agency announced that UnitedHealthcare, Humana, WellCare, CVS Health, Blue Cross and Blue Shield (BCBS) of Florida and BCBS Northern Plains Alliance will participate in the model, dubbed Part D Enhanced Medication Therapy Management (MTM).

The model will be tested over five years in Part D regions covering Arizona, Florida, Iowa, Louisiana, Minnesota, Montana, Nebraska, North Dakota, South Dakota, Virgina and Wyoming. CMS estimated the model will cover 1.6 million beneficiaries in its first year.

“Upon approval from CMS, the selected basic stand-alone [prescription drug plans] in these regions can vary the intensity and types of MTM interventions they provide based on beneficiary risk level and seek out a range of strategies to individualize beneficiary and prescriber outreach and engagement,” CMS said in a press release. “The selected PDPs can accomplish these goals by leveraging the core competencies of their own organizations, their network pharmacy providers, and prescribers to accurately identify and effectively intervene with beneficiaries whose issues with medication management have caused, or are likely to cause, adverse outcomes and/or significant non-drug program utilization and costs.”

Participants have some restrictions on how they can reach the targets set by the program. For instance, plans can’t restrict benefits or raise cost sharing to discourage beneficiaries from using medically necessary prescription. Beneficiaries will be allowed to opt out of Enhanced MTM items or services at any time.

Plans could receive a greater premium subsidy in future years if they reduce expected beneficiary fee-for-service expenditures by 2 percent.  

""
John Gregory, Senior Writer

John joined TriMed in 2016, focusing on healthcare policy and regulation. After graduating from Columbia College Chicago, he worked at FM News Chicago and Rivet News Radio, and worked on the state government and politics beat for the Illinois Radio Network. Outside of work, you may find him adding to his never-ending graphic novel collection.

Around the web

The tirzepatide shortage that first began in 2022 has been resolved. Drug companies distributing compounded versions of the popular drug now have two to three more months to distribute their remaining supply.

The 24 members of the House Task Force on AI—12 reps from each party—have posted a 253-page report detailing their bipartisan vision for encouraging innovation while minimizing risks. 

Merck sent Hansoh Pharma, a Chinese biopharmaceutical company, an upfront payment of $112 million to license a new investigational GLP-1 receptor agonist. There could be many more payments to come if certain milestones are met.