PBM Compensation and Fee Disclosure

This document is about the services provided by pharmacy benefit managers (PBMs), their business model and how they generate revenue, as well as the importance of transparency in PBM compensation and fees for plan sponsors to effectively manage their pharmacy benefit. It discusses the different pricing mechanisms used by PBMs, the role of drug rebates, and the potential conflicts of interest that can arise. The document also examines the challenges in evaluating PBM performance and compensation, and the potential benefits and risks of increased transparency reporting requirements.