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CVS CostVantage Milestone Prompts a ‘Healthy Dose’ of Skepticism

  • Jan 09
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    Jan 09, 2025

    CVS Health Corp. said on Jan. 6 that all commercial prescriptions dispensed through CVS Pharmacy are now contracted through the company’s CostVantage reimbursement model. The company aims to increase transparency for patients and PBMs alike with the new model, but some industry experts are greeting the announcement with a dose of skepticism. 

    CVS said in addition to routing all commercial prescriptions through CostVantage, it is working with CMS to eventually include Medicare and Medicaid prescriptions. Reimbursement through CostVantage is based on the underlying cost of a drug plus a “defined markup” and a dispensing fee “tied to the care and value we provide.” 

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    • Jill Drachenberg

    Jill has been a reporter and editor since 2005, mainly focusing on business and health care. Before joining AIS Health, she was an editor for Relias Media (formerly AHC Media), focusing on topics such as case management, medical ethics, risk management, infection control, hospital management, and contraceptive technology. She has a B.A. in journalism from Georgia State University.

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