Mark Cuban Says, ‘I Don’t Know Cars Or Rockets,’ But Elon Musk Is Educating How America’s Health Insurance Works
When Elon Musk took to X to ask why Americans aren’t “getting their money’s worth” despite the fact that the United States leads the world in administrative costs of health care, Mark Cuban chimed in with hard facts. Cuban, known for his outspokenness and immersion in health care reform, gave Musk and other officials a lesson in how their decisions affect health care costs and quality in the US.
“What matters are the contracts signed by private sector executives,” Cuban wrote in response to Musk’s tweet. He explained that many of these contracts, especially with Pharmacy Benefit Managers (PBMs), are the cause of increased costs and poor care.
Don’t miss:
Cuban laid out seven major issues with general PBM deals that affect not only companies like Musk’s Tesla and SpaceX but also employees and their families:
-
No control over claims data: Companies do not get full access to data about what is billed or paid.
-
Limited formularies: PBMs control which drugs are covered, often prioritizing profit over health.
-
Overpriced “Specialty Drugs”: These are often marked up without reason.
-
Rebates come at a cost: “Rebates” paid by pharmaceutical companies end up raising employee deductibles and co-payments, hitting the sickest and oldest.
-
Hurting independent pharmacies: PBMs often reimburse small pharmacies less than the cost of brand-name drugs, driving many out of business.
-
No manufacturer collaboration: Companies cannot work directly with drug manufacturers to develop targeted health programs.
-
Unclear contracts: Many PBM contracts include NDAs, making the system inefficient and driving up prices nationwide.
Source link
