Top 15 ways workplaces are countering high prescription drug prices

The International Foundation of Employee Benefit Plans conducted a survey asking employers how they manage high prescription drug costs. The group received responses from 577 human resources and benefits professionals, trustees, administrators and industry experts, representing a wide array of U.S. organizations from almost 20 different industries.

Here is a list of the most popular expense saving methods, ranked by percent of employers who reported using the technique. A total of 16 methods were reported, although the list includes a tie, which is represented by a bullet point and results in a numerical listing of 15.

Tiered pricing — 89 percent
Mail-order drug service — 82 percent
Drug formulary lists — 71 percent
Pharmacy benefit manager — 63 percent
Step therapy/therapeutic substitution — 46 percent
Prior authorization/utilization management — 38 percent
Mandated use of generic drugs when available — 37 percent
Preferred provider networks — 35 percent
Drug card program — 28 percent
Preferential pricing agreements (negotiated with pharmacies/manufacturers) — 18 percent

Limits for specialty and biotech drugs — 18 percent

Discontinued or limited coverage of cosmetic/lifestyle drugs — 17 percent
On-site or near-site pharmacy — 16 percent
Coverage of select over-the-counter drugs — 15 percent
Collective purchasing groups — 14 percent
Reference-based pricing/cap on certain drugs — 6 percent

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