The Federal Trade Commission will launch an inquiry into the prescription drug middleman industry, requiring the six largest pharmacy benefit managers to provide information and records regarding their business practices within 90 days, the agency announced today. FTC said the inquiry will scrutinize the impact of vertically integrated PBMs on the access and affordability of prescription drugs. 

AHA last month urged the FTC to investigate certain practices by health plans and pharmacy benefit manager, commonly referred to as “white bagging,” which disallow health care providers from procuring and managing the drugs they administer to patients.

“As large health plans engage in broad vertical integration efforts, including the acquisition of PBMs and specialty pharmacies, the practice of mandated white bagging has increased dramatically,” forcing hospitals and health systems “to navigate substantial supply chain and logistical challenges in order to continue to provide safe and effective care to the patients they treat,” AHA told the agency. 

Related News Articles

Headline
The Senate Appropriations Committee July 31 advanced the fiscal year 2026 appropriations bill for the Departments of Labor, Health and Human Services,…
Perspective
House members are back in their districts for the August recess and senators are likely to return to their states soon.While lawmakers are home, it’s important…
Headline
The Trump administration today announced steps drug manufacturers must take to lower prescription drug prices in the U.S. to "most favored nation" pricing, the…
Headline
The Department of Health and Human Services today issued a notice announcing a 340B Rebate Model Pilot Program as a voluntary mechanism for qualifying drug…
Headline
Centers for Medicare & Medicaid Services Administrator Mehmet Oz, M.D., July 19 visited AtlantiCare health system in New Jersey, making stops at its…
Headline
The Congressional Budget Office today released its estimate of the budgetary effects of the One Big Beautiful Bill Act, as enacted. CBO projects the law will…