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Navitus Health Solution’s Statement on Trump Administration’s Prescription Drug Cost-Reduction Plan

  • May 21, 2018
  • PBM Model

MADISON, Wis., May 21, 2018 – In response to the Trump administration’s plan to reduce prescription drug costs, Navitus Health Solutions issued the following response: 

“At Navitus we understand that high prescription drug cost can negatively impact the millions of Americans who need them—whether they suffer from a short-term illness or a life-long chronic condition. That’s why we’re committed to working hard every day to take the unnecessary costs out of pharmacy benefits and make prescriptions more affordable for both our clients and their members. With that in mind, we are pleased with the Trump administration’s focus on reducing drug costs.

As a full-pass through pharmacy benefits manager (PBM), we are already fully aligned with the administration’s mission to reduce costs. In fact, we believe we stand apart from the industry and offer a better solution to the high cost of prescription drugs. For example, in 2017 we provided substantially lower costs for our clients, achieving an industry leading net cost per-member-per-month (PMPM) of $76.56 across our commercial business, which is 15.5 percent lower than the industry average of $90.66 PMPM. Our trend management efforts also resulted in a cumulative savings over the past five years of $62.35 PMPM, compared to the industry average. Also in 2017, clients new to Navitus achieved an on average savings of 17 percent.

Like any PBM, we work with manufacturers to secure the best drug pricing and rebates possible for our clients. However, what makes us unique is our full pass-through model and focus on delivering the lowest-net-cost medications. We pass 100 percent of all discounts or rebates we receive directly back to the client. As a result, our clients experience lower year-over-year drug trend, decreased PMPM expenses and reduced overall costs.

In addition, we are continually working to develop innovative solutions that provide greater transparency and affordability to better support consumers on their path to improved health. These solutions include a cost-compare tool through our member website to help individuals shop for the most affordable medication and a point-of-sale rebate program (in development) that allows clients to help reduce out-of-pocket expenses for their members.

We look forward to supporting the administration’s efforts in hopes of reducing costs even further for our clients and their members.”  

To learn more about the Navitus model and results, get a copy of the Navitus Health Solutions 2017 Drug Trend Report, here.


About Navitus
Navitus Health Solutions, LLC, a subsidiary of SSM Healthcare Corporation, is a full-service, URAC-accredited pharmacy benefit management company. As a zero-spread, full pass through pharmacy benefit manager (PBM), Navitus aligns performance with plan sponsors’ benefit goals to deliver comprehensive clinical programs and cost-saving strategies that lower drug trend and promote good member health. Navitus provides its flexible services to government entities, self-funded employers, coalitions, labor organizations, third-party administrators, and health plans, including managed Medicaid, Exchanges, and Medicare Part D. For more information about Navitus’ solutions to rising health care costs, visit or call 877-571-7500.