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Evernorth launches rebate-free pharmacy benefit model

Evernorth Health Services has launched a rebate-free pharmacy benefit model with upfront discounts and real-time price comparisons.

BLOOMFIELD, Conn. — Evernorth Health Services, the health services division of The Cigna Group, has introduced a new pharmacy benefit model designed to deliver lower, more transparent medication costs while strengthening support for community pharmacies.

The new rebate-free Express Scripts model removes traditional post-purchase rebates and instead makes negotiated drug discounts directly accessible to consumers at the point of sale. Its aim is to simplify pricing, cut costs, especially for brand-name drugs, and enhance predictability for employers and health plans.

“While pharmacy benefit managers have already helped the U.S. achieve the lowest prices for generics in the world – which account for 90% of all prescriptions – the cost of brand-name medicines remain out of reach for too many Americans. We applaud President Trump and his Administration for taking decisive action to help lower costs for brand-name medicines that have long been controlled by drug companies,” said David M. Cordani, Chairman and CEO, The Cigna Group. “We are building on our long track record of pharmacy benefits innovation to put Americans first – lowering their drug costs, protecting access to their trusted pharmacies, and providing the clinical support and safety checks they need to stay healthy.”

Transparent Pricing and Lower Out-of-Pocket Costs

Under the new model, Americans will see negotiated discounts upfront, often lowering the cost of brand-name prescriptions by an average of 30% for those with high-deductible plans. Evernorth’s pricing technology automatically compares multiple cost options—including negotiated prices, copays, and cash discounts—charging customers the lowest available amount.

The model will debut in January 2026, be fully adopted by Cigna Healthcare’s insured members in 2027 and become available to all Evernorth pharmacy benefits clients in 2028.

Supporting Local Pharmacies

Evernorth also unveiled a new reimbursement model for community pharmacies, compensating them based on medication costs, a dispensing fee, and additional rewards for clinical services. Beginning in 2026, the new structure will apply across all in-network pharmacies, promoting high-quality patient care and sustainable local pharmacy operations.

Expanding Clinical Support

The company’s pharmacy benefit technology integrates thousands of safety checks to flag potential drug interactions and allergies, while providing ongoing clinical support to ensure appropriate medication use, which is particularly important for patients with chronic conditions.

“President Trump has highlighted the urgent need to tackle the high list prices of the 10% of medications that make up 88% of costs,” said Adam Kautzner, president of Evernorth Care Management and Express Scripts. “Our new model is a win-win for Americans and their employers—lower costs, real-time transparency, and renewed trust in pharmacy benefits.”

Evernorth’s new strategy continues its tradition of promoting affordability and access across its range of services, including Express Scripts, Accredo, eviCore, and MDLIVE.

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