A large rebate can look like a bargain, but often it only offsets a higher list price. Manufacturer rebates are typically a percentage of list price, so raising the list price makes the rebate look bigger without reducing what the plan pays.
That is why rebate size is a poor scorecard. When a PBM is measured on rebate volume, formularies tend to favor high-list, high-rebate brands over lower-cost options. Research has found that a $1.00 increase in rebates is typically associated with a $1.17 increase in list price.
A sound pharmacy plan focuses on net cost: what you pay after discounts and rebates, not how large the rebate looks. The better question is not “How big is the rebate?” It is “What does this prescription actually cost the plan?”
MedBen Rx was built around that question. You pay what the pharmacy pays, and 100% of paid rebates are returned to your plan. Learn how MedBen Rx delivers transparent pricing that works for you by contacting your broker or MedBen Marketing.