State Health Plan forms partnership State Health Plan partnership will lower costs of some drugs

The State Health Plan said Tuesday it will begin a partnership with its pharmacy benefit manager, CVS Caremark and GoodRx that is expected to lower prescription drug costs for certain generic drugs.

The program, which starts Jan. 1, compares the member's cost under the SHP's benefit to the available price at the point of sale for certain generics.

SHP is North Carolina's largest purchaser of medical and pharmaceutical services and is self-funded.

It covers nearly 740,000 teachers, state employees, legislators, retirees and their dependents. The state treasurer's office oversees the plan.

The main feature of the partnership is a free app that state Treasurer Dale Folwell said will help consumers find the lowest prescription prices.

About 95% of the top-100 nonspecialty generic drugs available on the SHP's formulary (drug list) already cost less for members than the GoodRx price. The partnership targets the 5% of prescriptions that may cost more.

Members do not have to download anything or take any action to enroll in this program. If the price for the medication is lower, members will be automatically provided with the lower price at their pharmacy.

"I'm thrilled that we have the opportunity to partner with CVS Caremark and GoodRx to further lower prescription drug costs for a portion of our Plan members," Folwell said in a statement.

"This is in line with our ongoing efforts to seek ways to make health care more affordable for those that teach, protect and otherwise serve North Carolina."

In July, the SHP informed state employees they will not face an increase in their insurance premiums in 2024, while some employer contributions will increase by double digits.

The SHP's board of trustees approved the 2024 premium rates that go into effect Jan. 1. The board also voted to freeze premiums for Medicare-eligible members on the Humana Group Medicare Advantage plans.

The unchanged rates apply to both the enhanced and base Preferred Provider Organization (PPO) plans.

The SHP has not raised the employee-family and employee-child rates since 2018.

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