Cigna Receives Excellence Award For Using Outcomes-based Contracting as a Strategy to Help Manage Prescription Drug Costs
Karen Eldred, 860-787-4015
BLOOMFIELD, Conn., March 7, 2017 – Cigna (NYSE: CI) has received an Excellence Award for Cost Containment from the Pharmacy Benefit Management Institute (PBMI) for efforts to change the reimbursement model with drug manufacturers from volume to value through the use of outcomes-based contracts. Beyond competitive price negotiations, outcomes-based contracts align financial terms to measured improvements in customers’ health. If the medicine doesn’t help to the degree anticipated, the cost is reduced.
"We congratulate Cigna on its innovative contracts with pharmaceutical companies that link payments to the health improvements a drug delivers. These efforts are an important part of encouraging stakeholders across the health care industry to recognize, reward and pay for care based on value," said Jane Lutz, executive director of PBMI.
Cigna has outcomes-based contracts in place with pharmaceutical companies covering medications for diabetes, multiple sclerosis, hepatitis C, chronic heart failure, and high cholesterol.
"We are pleased that our efforts to shift the conversation from unit drug costs to value delivered have been recognized by the pharmacy benefits industry. We commend those pharmaceutical companies that are advancing the dialogue with us," said Christopher Bradbury, senior vice president, integrated clinical and specialty drug solutions for Cigna Pharmacy Management.
Cigna Pharmacy Management, as a pharmacy benefit manager (PBM) within a global health service company, analyzes integrated claims data across benefit offerings – such as pharmacy and medical – to determine whether the metrics established in the outcomes-based contracts have been met. For example, drug performance metrics might be based on aggregate customer improvements in lab results or correlated reductions in hospitalization rates.
PBMI is an independent research and educational organization dedicated to unraveling the complexities of pharmacy benefit management. Since 1995, it has provided thought leadership, independent research, and valuable resources that support evidence-based, actionable decision making by healthcare stakeholders. Learn more at www.pbmi.com.
Cigna Corporation (NYSE: CI) is a global health service company dedicated to helping people improve their health, well-being and sense of security. All products and services are provided exclusively by or through operating subsidiaries of Cigna Corporation, including Connecticut General Life Insurance Company, Cigna Health and Life Insurance Company, Life Insurance Company of North America and Cigna Life Insurance Company of New York. Such products and services include an integrated suite of health services, such as medical, dental, behavioral health, pharmacy, vision, supplemental benefits, and other related products including group life, accident and disability insurance. Cigna maintains sales capability in 30 countries and jurisdictions, and has more than 90 million customer relationships throughout the world. To learn more about Cigna®, including links to follow us on Facebook or Twitter, visit www.cigna.com.
Other articles in News Releases:
- Cigna and UPMC Pinnacle Reach Agreement to Keep Quality Care Affordable in Southcentral Pennsylvania
- Cigna Expands Stakeholder and Community Support, Reports Second Quarter 2020 Performance
- Cigna Supports Pipeline of Urban Superintendents with $250,000 Grant to School of Education
- Cigna and Memorial Hermann Reach Agreement to Keep Quality Care Affordable
- Cigna Takes Action To Combat Systemic Racism And Improve Equity And Equality
- Aparna Abburi To Lead Growth Of Cigna Medicare Advantage Business