Pharmacist's hand holding a prescription bottle
Blue Cross and Blue Shield Partners with Civica Rx

 

A bold new partnership to lower the cost of prescription drugs

Blue Cross and Blue Shield companies believe everyone should have access to safe, effective prescription medicines when they need them and at a price they can afford.

That’s why 18 Blue Cross and Blue Shield companies and the Blue Cross Blue Shield Association are partnering with the nonprofit Civica Rx to manufacture select high-cost generic prescriptions. We can and we will lower costs for Americans.

Read more about this bold new partnership

Female pharmacist comparing tablet information with bottle information

If you share our passion for affordable, quality medications, we invite you to join our partnership.

We welcome all interested pharmacies, health plans, employers, retailers, wholesalers and other innovators to participate. Contact us to share your interest and we will get back to you with more information.

PARTNER WITH US

How our partnership will work:

Bring generic drugs to market
Commit $55 million to bring select generic drugs to market
Invite other companies
Invite other companies who believe patients come first to join us
Prioritize generic medications
Prioritize generic medications with the biggest potential for savings
Produce high quality generics
Produce high-quality generic drugs
Ensure savings are passed on
Ensure savings are passed on to patients
Serota and Van Trieste and Liljenquist

Working together, we can lower the cost of prescription drugs

Scott P. Serota, president and CEO, Blue Cross Blue Shield Association, Martin VanTrieste, president and CEO, Civica Rx, and Daniel R. Liljenquist, SVP and chief strategy officer, Intermountain Healthcare, and Chairman of the Board, Civica Rx, share how BCBS companies and Civica have the combined experience, know-how and commitment to solve a problem that impacts all of us.

Read their op-ed in the Washington Post

Learn more about why we are partnering with Civica Rx

David Holmberg

How does this subsidiary encourage greater competition within the drug industry, and do you see an opportunity to expand this effort beyond outpatient generic drugs?

“This new non-profit Civica Rx subsidiary will ensure a steady supply of select outpatient generic drugs at lower costs to consumers, which we expect will result in drug manufacturers lowering their prices in order to remain competitive. It will also force more cost transparency, which benefits all consumers. If this model is successful and delivers the cost benefits we anticipate, then expanding the program is definitely something we should and will explore.”

David Holmberg, president and CEO, Highmark Health

 

 

Paul Markovich

What impact will this partnership have for consumers?

“Drugs are too expensive for the wrong reasons. They’re not too expensive because of innovation. They’re too expensive because sometimes there isn’t enough competition. We plan to introduce competitive alternatives to the marketplace to ensure we have affordable drugs available to our members. This is not happening naturally now. Anytime, anywhere a drug is off patent, it’s an opportunity for us to create an alternative and ensure that consumers are not only getting high-quality drugs, but they’re affordable.”

Paul Markovich, president and CEO, Blue Shield of California

 

 

What was it about this partnership and the formation of this subsidiary that appealed to you as a leader of a Blue company?

"We believe healthcare needs to be easier to afford and understand. Idaho families should not have to choose between purchasing a needed prescription drug or paying essential bills. We are pleased to be part of this partnership with Civica Rx to ensure Idahoans have access to affordable generic medications. Our members are our family, our friends and our neighbors. We are proud to stand with our fellow Idahoans and offer an innovative solution to lower the cost of prescription drugs."

Charlene Maher, president and CEO, Blue Cross of Idaho

Frequently Asked Questions:

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FAQ Item Question
Aren't generic drugs supposed to be less expensive than brand name drugs?
FAQ Item Answer

Generic medicines tend to cost less than brand name drugs because they’re already FDA approved, so there’s less investment in research and development to bring the drug to market. But the fewer competitors there are for a generic drug, the higher the prices tend to be. 

FAQ Item Question
How will Civica Rx and BCBS companies bring down the cost of these drugs?
FAQ Item Answer

Initially, we will focus on bringing select high-cost generics to market. We’re disrupting traditional for profit manufacturing to ensure patients have access to safe, effective generic prescriptions at an affordable price.

FAQ Item Question
Are BCBS companies manufacturing these drugs?
FAQ Item Answer

BCBS companies will not be directly involved in manufacturing. Civica has an experienced leadership team, all of whom have significant tenure in the pharmaceutical industry.

FAQ Item Question
Which drugs will be available at more affordable prices? And how soon?
FAQ Item Answer

Right now we’re focusing on select high-cost generics with the greatest potential for savings. They treat a range of health conditions. These drugs will be available to consumers by 2022. 

FAQ Item Question
Are these drugs safe?
FAQ Item Answer

Civica works with high quality manufacturers to ensure each drug produced is FDA-approved as safe and effective.

FAQ Item Question
How much money will this partnership save?
FAQ Item Answer

Success in our new partnership will mean significant savings for individuals and families. We expect initial generic medications to be available by early 2022, and anticipate hundreds of millions in savings generated from the partnership that will be passed along to consumers. 

Founding BCBS Members of the Civica Rx-BCBS Partnership:

*Pending state regulatory approval

The Blue Cross Blue Shield Association is an association of 36 independent, locally operated Blue Cross and/or Blue Shield companies.