Providers Partner on Pharmacy Cost Control Solution

Mercer has revealed a new approach to help employers contain specialty pharmacy costs. 

By John Manganaro | October 05, 2016

A new solution created by Mercer in partnership with Envolve Pharmacy Solutions and Magellan Rx Management aims to deliver highly competitive specialty drug pricing and targeted clinical management options to employer-sponsored health programs.

The solution also delivers patient assistance program facilitation and access to limited distribution drugs, according to the firms.

“We are very excited to bring this innovative solution to our clients to help them provide specialty medications to their employees and families in a more affordable way,” explains David Dross, Mercer’s managed pharmacy practice leader. “We believe that this new approach provides an important addition to plan sponsors in managing the complex and rapidly changing specialty pharmacy space.”

The firms believe their new alliance “comes at a critical time as specialty medications represent 35% to 40% or more of pharmacy-related costs for employers despite treating just 1% to 2% of members.”

“While specialty biotech medications are therapeutic breakthroughs for chronic disease conditions like Hepatitis C and Multiple Sclerosis, they come with a hefty price tag, costing as much as $80,000 or more per treatment,” the firms warn. “For the entire U.S. healthcare market, specialty medication spending has nearly doubled since 2011, reaching more than $150 billion.”

Mercer adds that both Envolve Pharmacy Solutions and Magellan Rx Management specialize in the complexities of working with providers, health plans, pharmacy benefit managers and other stakeholders.

For more information on the program, visit