Vertically integrated health plans are starting to fall by the wayside due to their limited flexibility, while modular health plans are gaining traction, according to Scott Rossignol, senior director of Drug Value Strategy at Abarca Health.
Modular health plans offer a customizable alternative to more traditional vertically integrated health plans, according to Scott Rossignol, senior director of Drug Value Strategy at Abarca Health.
“For a long time, we were told that the vertically integrated model was going to be the best fit for health plans to be able to maximize their pharmacy benefit,” Rossignol said in a recent video interview with Managed Healthcare Executive. “At the same time, there are all these incredible innovators out there in the market who are coming up with new point solutions and hearing the problems that health plans are having when it comes to transparency and rising specialty drug costs.”
Rossignol explained that Blue Shield of California is one of the leading innovators in the space, due to their decision to partner with at least five vendors, including Abarca.
Rossignol presented yesterday at the Pharmacy Benefit Management Institute’s 2025 conference, held this week in Orlando, Florida. His session was titled, ‘The Value in a Flexible PBM Willing to Partner with Best-In-Class Innovators.’
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