E&I Cooperative Services Partners with Sourcing Alliance to Offer SourceRx
Isn’t it nice to be validated by your peers?
E&I Cooperative Services (E&I), the largest non-profit purchasing cooperative focused primarily on higher education institutions, recently established a partnership with Sourcing Alliance. Why? To leverage our SourceRx Program, the only nationwide publicly procured pharmacy benefits management (PBM) contract.
SourceRx is a revolutionary public sector PBM coalition that offers self-insured employers a more cost-effective way to procure and deliver pharmacy benefits to their employees. The coalition provides participants with aggressive contract terms designed to provide greater prescription drug price stability, extensive flexibility, and budget certainty, while also delivering an average of 25% savings to new participants in the program.
Yes, the features and benefits of SourceRx are exceptional, but why did E&I partner with Sourcing Alliance, a “competitor”, to provide pharmacy benefits to its members? The answer is quite simple. E&I could not replicate the benefits and buying power of the SourceRx Program:
- Buying power. SourceRx is one of the nation’s largest coalitions, with more than $1 billion in annual spend and more than 3 million lives covered.
- Pricing. We leveraged this massive buying power to command better pricing and contract terms. New SourceRx participants reduce their existing PBM costs by an average of 25% and experience dramatically lower year-over-year price increases.
- Favorable member contract terms. Standard PBM customer agreements typically favor the PBM at the expense of the customer. SourceRx’s buying power is so substantial that we were able to secure significant and unprecedented concessions from two of three largest PBM providers in the country.
- Program management. Over its 23-year existence, SourceRx has developed the most comprehensive, proactive program management capabilities in the country to deliver the best overall value to each coalition participant.
Given the choice of investing millions of dollars over several years in the hopes of building a coalition from scratch or partnering with SourceRx to provide an immediate solution to E&I members, the decision was easy.
Through this partnership with Sourcing Alliance, E&I members now have access to the same PBM features and benefits as Sourcing Alliance members:
- Plan Design Flexibility – empower employers to choose the best plan design to meet their unique needs including transparent, traditional, and average script price options.
- Budget Certainty – available stop loss insurance policies to protect employers against runaway prescription costs. Stop loss policies pay all prescription costs after claims exceed the employer’s deductible for the entire group or for an individual member within the group.
- Claims-Level Pricing Guarantees – applies coalition pricing on a per claim, per employer basis – not in the aggregate across all claims.
- Consistent Pricing Regardless of Size – all participating employers receive the same prescription pricing, regardless of the number of employees.
- Built-in Price Decreases – as the size of the coalition increases, pricing for all participating groups decreases.
- Three-Year Pricing Guarantee – protects against future prescription drug price increases.
- Annual Audits – individual audits to verify master agreement terms and pricing are properly applied to each participant; participants receive full (100%) refunds of any overcharges.
- Annual Market Checks – an intensive process of securing pricing from competing PBM providers each year to ensure the most competitive pricing is available to SourceRx participants.
- Easy Adoption – easy implementation process for public sector employers in all fifty states.
- Ongoing Education – education from some of the most knowledgeable PBM experts about changes in the PBM industry and how those changes may affect each participating group.
Getting Started with SourceRx
Want to know if SourceRx is a good fit for you? The process begins with a Member Market Check, a comprehensive comparison of your current PBM plan to SourceRx that will determine one of two things:
- You have an opportunity to significantly reduce your PBM expenditures with SourceRx; or
- Your current PBM contract is competitive with one of the largest PBM coalition contracts in the country.
If you have any questions, or want to initiate your Market Check please contact us at 844.289.6724 or visit our website.