GSK and Medco join for Medicare prescription scheme

The collaboration, which is subject to the parties entering into a definitive agreement, is designed to provide Medicare beneficiaries who enroll in Medco’s program with broad, affordable access to market leading prescription medicines.

“This creative alliance helps us integrate the traditional PBM model with the consumer-driven Medicare Part D drug program to meet the cost and quality objectives of the Medicare population,” said David Snow Jr, Medco’s chairman, president and CEO. “Working with GlaxoSmithKline, we can reinforce cost-saving strategies, such as formulary compliance, while providing broad access to medicines.”

One innovative aspect of the Medco-GSK agreement is that this arrangement will balance broad access to medicines with market proven pharmacy management tools. In this way, Medicare patients will have the benefit of a cost effective program, while preserving the choice of medicines prescribed by their physicians.

In February, Medco announced its intent to be involved in the Medicare prescription drug benefit as a National Prescription Drug Provider (PDP) in 34 regions, with a focus on supporting its health plan clients with Medicare Advantage and PDP programs, and its employer clients who offer retiree benefits.