Pharmacy Benefits Management Services Market is accounted approximate USD 469.4 billion in 2020 and it is expected grow with a CAGR of 5% during forecast period. Pharmacy benefits management services are provided by the third-party administrator. They act as a link between pharmacists, insurance companies, and insurance claimers or drug manufacturing companies. Their work involves various tasks which include managing the prescription, reduce the drug price, and planning of better health plan for the customers with benefits such as rebates and discount offerings. Medicines offered by these third-party administrators are of low affordable price as compared to the medicines sold by retail pharmacists. In addition to this, they also release the list of drug prescriptions that are covered in their benefit plans. These firms are flexible and diverse ranging from small size to considerably large size. Some of the responsibilities of the pharmacy benefits management firms includes operation of mail orders so that the prescriptions will be delivered to the patient’s door, ensure the patient compliances, medicine distribution management among the network of pharmacies, negotiation of rebates in order to get affordable offers on medicines, process claim from the pharmacies and patients, and management of the formularies so that individual will know the details of medication covered in their health plans.
Market Segmentation:
On the basis of service, the pharmacy benefits management services market is segmented into specialty pharmacy services, drug formulary management; benefits plan design & design consultation, and others. On the basis of end user, the market is segmented into pharmacy benefits management organizations, mail-order pharmacies, retail pharmacies, inpatient pharmacies, and outpatient pharmacies. And by region, the pharmacy benefits management services market is segmented into North America, Europe, Asia Pacific, and RoW.
Market Dynamics and Factors:
The growing demand of insurance services and increasing numbers of individuals availing for insurance is one of the major drivers of the pharmacy benefits management services market. According to the World Health Organisation (WHO), 60% of the global burden of diseases will be accounted for by chronic diseases in 2020. Rising occurrences of health issues such as chronic diseases amongst the majority of populace, due to a growing unhealthy lifestyle in the urban areas is boosting the demand of the market. Moreover, health-conscious individuals are opting to make use of this service which is one of the supporting factors for the market. In addition to this, the well-established healthcare sector in developed countries and rapidly growing healthcare sectors in emerging countries is further propelling the growth of the market. However, the unawareness of the benefits of these services amongst the populace is the restraining factor of the market. Hence, promoting these services in order to increase awareness is a challenge for these management firms. The growing need of the healthcare sector will create more opportunities in the pharmacy benefits management services market.
Geographic Analysis:
North America has dominated the global pharmacy benefits management services market and expected to continue its supremacy in the years to come. With the availability of the advanced healthcare technology combined with government support, efficient infrastructure, and well-established healthcare sector. The market is also growing rapidly in Asia Pacific region with growth in population density combined with the growing occurrence of chronic diseases in emerging countries such as India and china, which caters to the growth of the market in the region. Global pharmacy benefits management services market in Europe is also expected to witness significant growth with the growing healthcare sector and growing insurance sector.
Competitive Scenario:
Key players in the global pharmacy benefits management services market are CVS Health, UnitedHealth Group, Rite Aid Corp., SS&C Technologies Inc., Change Healthcare, Anthem Inc., CaptureRx, and ProCare Rx.
Pharmacy Benefits Management Market Report Scope
| Report Attribute | Details |
| Analysis Period | 2020–2030 |
| Base Year | 2021 |
| Forecast Period | 2022–2030 |
| Market Size Estimation | Billion (USD) |
| Growth Rate (CAGR%) | 5 % |
|
| By Services (Specialty Pharmacy Services, Drug Formulary Management, Benefit Plan Design & Consultation, and Others), By End User (Pharmacy Benefit Management Organization, Mail Order Pharmacies, Retail Pharmacies, Inpatient Pharmacies, and Outpatient Pharmacies) |
| Geographical Segmentation | North America (U.S., Canada, Mexico) Europe (UK, Germany, Italy, France, Rest of Europe), Asia-Pacific (China, Japan, India, Australia, Rest of APAC), South America (Brazil, Argentina, Rest of SA), MEA (UAE, Saudi Arabia, South Africa) |
| Key Companies Profiled | CVS Health, UnitedHealth Group, Rite Aid Corp., SS&C Technologies Inc., Change Healthcare, Anthem Inc., CaptureRx, and ProCare Rx. |
