More employers offer preventive drug lists over time

Area of Science:

• Health Economics
• Health Services Research
• Pharmacy Benefit Management

Background:

• Employer-sponsored health insurance is a primary source of healthcare coverage in the US.
• Preventive Drug Lists (PDLs) are formulary tools designed to encourage the use of cost-effective medications.
• Understanding trends in PDL offerings is crucial for evaluating employer strategies in managing healthcare costs and promoting preventive care.

Purpose of the Study:

• To analyze the evolution of employer-provided Preventive Drug Lists (PDLs) from 2005 to 2017.
• To investigate the relationship between employer characteristics and the offering of PDLs.
• To examine the association between workforce demographics and PDL adoption.

Main Methods:

• An observational, cross-sectional descriptive study design was employed.
• A large administrative health claims database was utilized to track employer PDL offerings between January 2005 and December 2017.
• Statistical analyses, including adjusted models, were performed to identify factors associated with PDL offerings.

Main Results:

• The percentage of employers offering PDLs significantly increased from 2005 to 2017, with the most substantial growth seen among larger employers.
• In 2017, nearly 43% of employers with 5,000+ employees offered PDLs, compared to only 10% of employers with 50-199 employees.
• Employers with a high proportion of employees in High-Deductible Health Plans with Health Savings Accounts (HDHP-HSAs) were more likely to offer PDLs (32.0%) than non-HDHP-HSA employers (13.0%).

Conclusions:

• Employer adoption of PDLs has trended upward, particularly among large employers and those with a significant enrollment in HDHP-HSAs.
• Factors such as an older workforce and a higher prevalence of chronic conditions were associated with increased PDL offerings.
• The findings indicate a positive movement towards enhancing healthcare access and managing pharmaceutical costs for commercially insured individuals.