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Setting The Record Straight: Medicaid Pharmacy Carve-Outs Raise Costs For Taxpayers

posted by AHIP

on April 29, 2019

In February 2019, the West Virginia Department of Health and Human Resources’ Bureau for Medical Services (BMS) released the Pharmacy Savings Report, West Virginia Medicaid. The report asserts that the state saved more than $54 million in 2018 by removing—or “carving out”—prescription drug coverage from the state’s Medicaid managed care program, and instead covering drugs through an unmanaged fee-for-service (FFS) program.

The report’s findings run completely contrary to analyses of Medicaid prescription drug programs in other states—as well as conclusions reached by other researchers. How can we understand the disconnect? Download our summary to learn more, as well as a full independent analysis.