Spending on brand name drugs spiked 16.2% in 2015 and 98.2% since 2011, according to a new report from pharmacy benefit manager (PBM) Express Scripts. Plus, a third of branded products experienced price increases greater than 20% in 2015, according to Express Scripts’ annual Drug Trend Report.
The return of narrow networks has been blamed largely on the Affordable Care Act (ACA). But the trend, similar to health maintenance organizations, re-appeared before the creation of the ACA’s health insurance exchanges. Physicians must learn how to cope with this movement and decide when it makes financial sense to be included in narrow network plans.