STAT+: Cigna, extending reach into prescription drugs, acquires major pharmacy used by hospitals
Why it matters: This acquisition concentrates more power within fewer healthcare companies, potentially limiting patient choice and increasing drug prices, impacting access to essential medications and overall healthcare affordability.
- Cigna is extending its reach into prescription drugs by acquiring CarepathRx, a pharmacy dispensing drugs to a significant portion of U.S. hospitals.
- Cigna executives have emphasized managing prescription drugs as a top priority since acquiring Express Scripts, highlighting the strategic importance of this sector.
- Antitrust officials are increasingly wary of health insurers expanding beyond their core business, fearing that such consolidation harms consumers and drives up healthcare costs.
Cigna's acquisition of CarepathRx, a major pharmacy serving nearly 10% of U.S. hospitals, signals a continued push for control over the pharmaceutical supply chain, raising concerns about healthcare consolidation. This move, part of a broader trend of vertical integration in the health insurance industry, intensifies scrutiny from antitrust officials who fear rising costs and reduced consumer choice.
