Evolution Benefits Consulting has a proven, effective approach for procuring best-in-class PBM arrangements for our employer clients.
We begin asking our clients what they want as a result and to rank these areas of examination:
We will create a request for proposal categorized in these areas with appropriate weightings that are developed based on client feedback.
The procurement process, unique to Evolution, compels each of the bidding vendors to meet a number of “minimum requirements” before being allowed into the process. We create a hurdle by dictating aggressive financial terms, guarantees and contract terms each vendor needs to meet before they proceed. We have found that PBM contracts are often intentionally written in ambiguous terms that may allow certain provisions to appear more generous than they are in actuality. Our industry knowledge allows us to demand terms and guarantees that are easy to:
Depending on your current state, this approach can yield 5% to 15% savings, without cost shifting. Savings result from tighter contract terms and more aggressive financial metrics/guarantees. For a client with 5, 000 employees spending $1,400 per employee, savings could reach $700,000 or more.