Blue Shield of California Diversifies Pharmacy Network with Amazon and Mark Cuban's Cost Plus Drugs

Blue Shield of California, a non-profit insurer, plans to reduce its reliance on CVS Health as its pharmacy benefit manager and instead work with companies such as Amazon and Mark Cuban's drug firm to negotiate drug prices. This move comes as pharmacy benefit managers face scrutiny for their role in rising healthcare costs. Blue Shield will collaborate with five different companies to provide convenient access to medications while lowering costs. The insurer expects to save up to $500 million in annual drug costs once its multi-year strategy is fully implemented. CVS shares fell over 6% in response to the news.