Walgreens Drops Some CVS Prescription Plans

Negotiations have broken down between Walgreens and rival CVS Caremark, and Walgreens has withdrawn as a provider from four of their prescription plans.

Customers affected include members of prescription benefit plans managed by CVS Caremark for ArcelorMittal, Johnson Controls, Inc., Progressive Casualty Insurance Co. and Wisconsin Education Association Trust, the company said.

Walgreen added that the change mostly affects customers living in Illinois, Indiana, Michigan, Ohio and Wisconsin.

“This is not where we wanted negotiations to lead,” said Trent Taylor, president of Walgreens Health Services, the company’s managed care division. “We’re sorry that our pharmacy patients and CVS Caremark’s clients are caught in the middle, and we’ll do all we can to ensure a smooth transition for our patients to another pharmacy.”

Walgreens says that reimbursement levels for the plans were “drastically below market.”

We can’t imagine that we won’t see more of this, now that CVS owns Caremark.

Walgreen drops CVS prescription plans [CNNMoney]
(Photo:cmorran123)

Comments

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  1. phantomfly says:

    Talking point: Walgreens hates teachers.

  2. theblackdog says:

    Talking Point: BC/BS dropped Caremark as their mail-order perscription service.

  3. Hambriq says:

    Talking point (Hey, who am I to break the convention): This is the direction the pharmacy industry is headed anyway: pharmacies run by your insurance company.

  4. caederus says:

    Talking Point: Most Caremark plans require mail order for anything more than a 60 day supply, thereby cutting out the retail pharmacy (walgreens) from a steady business.

  5. kellyhelene says:

    @theblackdog: In my area, at least, Walgreens doesn’t accept BC/BS anyways.

  6. Dr.Ph0bius says:

    Dont be mad at Walgreens, be mad at the way insurance companies work! My wife worked in insurance billing, and said that the insurance companies pay about around 50% of the amount submitted to them by the doctor. Some doctors double and triple bill insurance companies, just to try and get close to what they should get for the service “by the book.”

    Now Im not asking for anyone to feel sorry for doctors either, but we have a severely screwed up system here… healthcare, insurance, prescriptions… Pharmacies are as stuck in the middle as we are.

  7. thequietone says:

    @Dr.Ph0bius:
    THANK YOU FOR YOUR COMMENT!!!!!! I agree working in a pharmacy (NOT WALGREENS!!!) but at another chain pharmacy I am a tech. And I have worked at the same store for 7 years now. It just annoys me that we are the ones constantly getting yelled at for nothing we dont have control over.
    Its not our fault if your insurance charges you too much for your prescription.
    Its not our fault if they dont cover your Non-Formulary Meds, Or if you need a Prior Authorization.
    Dr.’s give you a Prescription BUT the insurance says “PA req’d” (meaning the dr has to notify the insurance why you need this medicine even though the answer is more than obvious) This takes anywhere from 2 business days to sometimes several days !! I hate telling customers this bad news because … like you ..I do want to make everyone’s trip to the pharmacy as simple as possible. Its not like Im trying to make your day as miserable as possible.
    So please dont yell at us for one of these topics

    There is no book that explains how Insurance works, because it is constantly being changed. Month to Month Your prescription may be covered one month and the next month its not. Why? because its your insurance.
    Its not our fault what your insurance charges for your copays.
    Ive seen a husband and wife come in to my Pharmacy. Same Drug, Same directions, Same Qty, Same Dr…Same EVERYTHING. His Copay $25. Her copay $35. WHY? Its the insurance.

    When the whole Medicare part D came out a couple years ago, my boss had me work the day It began. OMG I cant tell you how many different problems happened that day, I remember this lady came in and want to pick up one of her regular meds. She came up ‘not covered’ according to my computer. I called the insurance to see what was up. After spending 3 hours (yes roughly 3 hours) and about 10 different phone numbers that had me going in a complete circle — and going nowhere– One of the HR reps told me that about 35,000+ seniors that were suppose to be active were not yet added into the computer database. Keep in mind it was Jan 1 (I think it was 2005 whatever year part D began).
    About 10 days later everything was solved.

    Its terrible when even members of the insurance company dont even know whats going on!

    Now when it comes to having items not in stock, It can be the pharmacies fault but you also have to keep in mind that with our ever growing population it gets really hard to make sure everyones meds are instock.

    And for my companies long lines (hint hint)I know with an extra body or two behind the register counter it would definately help!!! but our corporate offices give the managers a certain # of hours to schedule their employees and if they schedule too much they get in trouble from corporate. So yell at corporate for us…so we can get more cashiers back there so we can get you in and out.
    **sorry for the incredibly long post** Hope Ive cleared up something