October is National Cooperative Month, a time when cooperatives nationwide raise awareness about their reliable and empowering approaches to providing services to diverse communities. For National CooperativeRx, that means recognizing our unique pharmacy benefit solutions for organizations that self-fund their employee benefits. As a pharmacy benefit Cooperative, we provide our members additional value that a typical pharmacy benefit manager cannot.
Six Advantages of Cooperative Membership
1. Voluntary and Open Membership
Cooperatives are voluntary and open organizations. Any self-funded organization, including unions, health trusts, Taft Hartley funds, etc., may join National CooperativeRx regardless of industry type, group size, location, or demographics. Our inclusive arrangement encourages membership growth, which results in greater purchasing power during our contract negotiations with a pharmacy benefit manager (PBM).
2. Democratic Member Control
Cooperatives are democratic organizations controlled by their members. Active participation is essential in setting policies and making decisions. Our members may participate in our Board and represent their organization. This structure empowers employers from all realms of the business world to participate in collective decision-making processes related to their employee pharmacy benefits.
3. Member Economic Participation
Members contribute to and control the capital of their cooperative. Members pay dues and receive excess proceeds each year. Historically, around 90% of cooperative fees paid in a year by National CooperativeRx members are returned. Additional economic benefits of National CooperativeRx membership include 100% pass-through of rebates and claims audit recoveries.
4. Autonomy and Independence
Cooperatives are autonomous organizations controlled by their members. Members are guaranteed democratic control within agreements with other organizations, including governments. At all times, members maintain their Cooperative autonomy. National CooperativeRx membership has a collective voice that carries weight within pharmacy benefit industry discussions. Our size and structure allow us the freedom to prioritize the interests of our members when shaping their pharmacy landscape without external driving forces.
5. Education, Training, and Information
Cooperatives are a source of information, ready to educate and share knowledge with members. National CooperativeRx offers a variety of educational and informative resources. Our website is a knowledge-sharing platform with blogs, educational briefs, and videos. Additionally, we distribute a bi-weekly e-newsletter including the latest industry news and Cooperative updates, and we facilitate multiple webinars each year. Lastly, we host an in-person and virtual annual meeting, fostering better relationships between our Cooperative members and demonstrating our continued commitment.
6. Cooperation Among Cooperatives
Being a part of a cooperative movement strengthens each organization. National CooperativeRx represents a community of organizations united by shared values: transparency in drug pricing and operations, cost-effective pharmacy benefits, and quality patient care. As a Cooperative, we achieve results together that otherwise could not be achieved alone.
National CooperativeRx proudly operates with these as our Cooperative Principles.
National Cooperative Month reminds us that our successes and achievements would not be possible without our dedicated membership. Thank you to our Cooperative membership for your confidence in us. Your trust and active participation drive us to continually provide innovative and reliable pharmacy benefit solutions to organizations nationwide.