3,500 Employee Hospital System
| Annualized Charges to the sponsor in excess of optimal pricing | $537,879 |
|---|---|
| Total valid prescriptions in the dataset (12 mos) | 121,144 |
| Prescriptions analyzed that showed variances from optimal pricing in this dataset | 66,508 |
| Percent of total prescriptions in this dataset that showed variances from optimal pricing | 54.9% |
| Average excess margin per prescription | $4.44/Rx |
| Annualized projected rebates returned to plan sponsor | $248,345 |
| Total Elimination of repackaging Annualized Savings | $134,820 |
| Annualized Savings from minimal formulary revision at 25% | $681,533 |
Gross Potential Annualized Savings
| ANNUALIZED SAVINGS | Conversion​ 25% | Conversion​ 50% | Conversion​ 100% |
|---|---|---|---|
| Removal of Drug Cost Markups: | $537,879 | $537,879 | $537,879 |
| Return of Rebates to Plan Sponsor: | $248,345 | $248,345 | $248,345 |
| Savings Potential with Formulary Conversion: | $681,533 | $1,105,430 | $1,941,215 |
| Elimination of Repackaging: | $134,820 | $134,820 | $134,820 |
| Return of Audit Recoveries | $44,940 | $44,940 | $44,940 |
| TOTAL ANNUALIZED SAVINGS | $1,647,518 | $2,071,415 | $2,907,200 |
