Our value to members includes delivering on cost savings and keeping trend low. We are proud of the fact that our trend has remained flat during the history of our cooperative.
- National CooperativeRx controls cost through proactive recommendations, staunch advocacy on pharmacy management and the vetting and funding of clinical solutions for member groups. Our trend reflects this: our aggregate 9 year (2005 – 2013) average annual trend was -0.7%. The overall trend for 2013 was -0.8%. It continues to cost less per participant (on average and cooperative-wide) to provide pharmacy benefits than the year prior. There are a variety of factors that influence this.
- We do not believe in a one-size fits all approach to clinical programs. Some of our members want turnkey clinical solutions based on best practices, while others want a fully-customizable program. We bring consultative expertise to help members with these important decisions, and offer a comprehensive suite of effective clinical programs at no or low cost to plans. The results speak for themselves.
- Independent audits are conducted on cooperative business and on our PBM. Performed by a third party, audits review 100% of claims assuring that all mail, retail, rebate and other financial guarantees are met.
- In 2014, we distributed quarterly rebates totaling $10,142,821.
- Cooperative ownership brings financial and non-financial benefits. Our legal agreement with our PBM vendor stipulates that members see every part of the financial arrangement. Another benefit is “patronage capital,” which is a payment to members when income exceeds expenses. Because we’re member-owned, this money is your money.
- The cost containment strategies we help plans put in place have real impact. Our participants’ use of formulary medications has increased an average of 2.46 percent each year since 2005, and our mail order dispensing rate has improved more than 12 percent each year, which saves money for both the plan sponsor and the participant.
- Every 1% point increase in generic dispensing rate saves plan sponsors about 1% of drug spend. Our generic dispensing rate last year was over 80%, meaning the cooperative as a whole performed better than the industry average.