UnitedHealthcare Cuts Out-of-Pocket Healthcare Costs for Insulin

UnitedHealthcare has announced that it will eliminate out-of-pocket healthcare costs for insulin and other emergency use drugs for fully insured group health plan members.

Members will be able to access certain prescription drugs for free as early as January 1, 2023, subject to regulatory approval.

“High prices are a significant barrier to prescription drugs for many people, so we are using our unique capabilities to deliver savings for consumers,” Brian Thompson, chief executive officer of UnitedHealthcare, said in the press release. “We are doing what we can to shield people from the prices set by pharmaceutical companies and hope all stakeholders also will act to make prescription drugs more affordable.” 

Ensuring zero-dollar copays for prescription medications can help reduce the burden of high medical costs. In addition, access to affordable drugs can help promote medication adherence, which can mitigate the risk of complications and hospitalizations, the payer said.

Fully insured members can receive insulin and four additional preferred emergency use medications without cost-sharing. The standard benefit covers epinephrine for severe allergic reactions, glucagon for hypoglycemia, naloxone for opioid overdoses, and albuterol for acute asthma attacks.

This offering builds on past initiatives from UnitedHealthcare and its subsidiary Optum Rx to facilitate access to affordable healthcare, the press release stated. Previously, the payer launched a program allowing fully insured members to receive point-of-sale discounts on prescription drugs.

UnitedHealthcare has also implemented initiatives focusing on expanding maternal healthcare, improving vision and eye health for members, and streamlining customer support.

In the second quarter of 2022, the payer generated $80.3 billion in revenue, signaling a 13 percent year-over-year growth. Earnings from operations reached $7.1 billion, representing a 19 percent year-over-year increase. In addition, the payer saw a $5.1 billion profit.

As prescription drug spending increases, payers have acted to reduce costs for their members.

For example, in March 2022, the Blue Cross Blue Shield Association (BCBSA) partnered with a nonprofit generic drug company to increase member access to low-cost insulin. The initiative planned to offer members biosimilar insulins for no more than $30 per vial and $55 for a box of five pre-filled pens.

Additionally, CMS launched the Part D Senior Savings Model to lower insulin costs for members receiving coverage from participating Part D plans. The plans offered different insulin brands with a maximum copay of $35 for one month of insulin supplies.