After considerable research and deliberations, the Board of Trustees of the Lake County Indiana, NECA – I.B.E.W. Health and Benefit Plan have made the determination to replace SavRx as the pharmacy benefit manager (PBM) for the active and early retiree population of the Plan. This change will occur on April 1, 2025.
Be advised that the decision to replace SavRx was not an easy one. After all, they have been a fine service provider to the participants of the Plan for many years. However, and as a result of their periodic evaluation of SavRx against their industry peers, the Board determined that another pharmacy benefit manager (PBM) can provide greater discounts and rebates than those proposed by SavRx over the next three years.
Over the next few months, the Plan will be providing updates on this transition via all the usual methods. Accordingly, all active and early retiree participants will need to pay attention to their mail as well as to any announcements contained within the Funds website or monthly newsletter posted therein.
At this moment, there is absolutely no action that needs to be taken by any of the aforementioned population. Once again, the transition from SavRx to the new PBM will not be occurring until April 1, 2025, and like always, the Fund Office as well as the new PBM will keep you updated along the way.
With that said, who amongst you is not eagerly anticipating the reveal of the entity that the Board of Trustees selected to replace SavRx?
Did you really think we are going to keep that detail close to our chest?
Conversely, who doesn’t love a good mystery? I know that a lot of you do. Well, at least I think you do, because that’s the only reason that I can think of that would explain the rationale behind some of you not securing your Annuity Fund at Empower, not enrolling yourself and your eligible dependents with Included Health, or for that matter, why most members do not attend a monthly membership meeting, let alone three or four, during a calendar year.
Well, now that I have “slyly” slipped in my monthly rant about those matters, I can reveal the name of the new pharmacy benefit manager (PBM) of the Lake County Indiana, NECA – I.B.E.W. Health and Benefit Plan. The PBM selected by the Board of Trustees to replace SavRx is Medimpact!
Who is Medimpact?
Great question! Medimpact is the largest independent pharmacy benefit and health solution company in the nation. They serve 20 million members and process over $40 billion in pharmaceutical transactions each calendar year for their Union, Governmental and private health insurance clients.
Why is the Board of Trustees moving those participants who are covered under the active and early retired provisions of the Health and Benefit Plan over to Medimpact?
For three reasons.
The first being the very same reason explained within the second paragraph of this article. Which stated more concisely, is that Plan is able to stretch its dollar slightly further than it could if it remained with SavRx.
The second reason is because Medimpact prioritizes the protection of patient information.
The third reason is that the general health of the population is neither trending in a positive direction nor is it stabilizing. Meaning; the covered population is not as healthy as they could be and unless we each start prioritizing our health and consciously and consistently practice healthy habits, the reliance of expensive drugs will only continue. The latter of which quite often only addresses the effects of the underlying medical condition but does not necessarily cure the medical issue.
What about the participants of the Plan who are covered under the Plan’s Medicare Advantage with supplemental Part D coverage (MAPD) Program? Why isn’t that population being moved over to Medimpact?
Look at you! You’re on a roll with your questions!
Simply put, it is because of the election. Neither the Fund, nor the nation has any inclination as to what the Trump administration plans are as it relates to both Medicare and its Medicare Part D program. Like you, the Board has heard the rumors, and the opinions of the pundits on both sides of the isle. What they have not heard though is anything definitive. Consequently, without any clear inclination or conclusive information, the Board thought it prudent to stay the course at this time.
Additionally, Medimpact does not offer such a program. With that said, the Board did look at other PBM’s that do and for the reason cited directly above, determined to keep SavRx as the supplemental pharmacy benefit manager for the immediate future.