Drug Cost Highlights » Per Member Per Month Metrics Tuesday, September 07, 2010
 

 

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Per Member Per Month Metrics

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Per member per month (PMPM) utilization metrics for active employees and retirees on the number of scripts, gross cost of scripts and net cost of scripts are reported in Tables 44-46.

Utilization is monitored by the number of prescriptions filled by each member each month or per member per month (PMPM) data. Data are monitored by member type: active employee and retiree. Retiree utilization is typically higher by as much as three times active employee predominantly because of the increased prevalence of chronic conditions in people over age 65. Only five employers with retiree-only drug plans responded to the survey so the data should be viewed as directional in nature.

Employers reported gross cost and net cost data in separate questions so some of the calculated average gross costs—the total amount of the prescription including dispensing fee, ingredient cost and cost share amount as defined in survey—are lower than calculated average net costs.

 

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