Why do the Preferred Health Systems Health Plans need a formulary?
Many people are not aware that the cost of prescription drugs is rising faster than any other portion of health care costs. Huge drug advertising costs are one reason for cost increases. Other reasons include an aging population that uses more drugs and the high cost of research and development for new drugs. The alternative to a formulary would be to shift a greater portion of these rising costs to our members. Our formulary has been proven to ensure quality and, as an added benefit, control costs.
