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We believe that patients should have access to innovative medicines.

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About PhRMA

The Pharmaceutical Research and Manufacturers of America (PhRMA) represents the country’s leading innovative biopharmaceutical research companies, which are laser focused on developing innovative medicines that transform lives and create a healthier world. Together, we are fighting for solutions to ensure patients can access and afford medicines that prevent, treat and cure disease. Over the last decade, PhRMA member companies have invested more than $850 billion in the search for new treatments and cures, and they support nearly five million jobs in the United States.

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For information on how innovative medicines save lives, please visit:  
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The aggressive approach by health care conglomerates to vertically integrate across almost every aspect of the health care system has raised serious questions about the impact their model has on the system and could lead to patients paying more. A prime example is how business arrangements between affiliated entities are treated when calculating the medical loss ratio (MLR), or amount of money insurers spend on patient care compared to administrative costs, profits, executive compensation, marketing and other expenses.

Explainer: Vertical Integration May Allow Insurers to Skirt Medical Loss Ratio Requirements image

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Insurance Coverage

Explainer: Vertical Integration May Allow Insurers to Skirt Medical Loss Ratio Requirements

October 22, 2024

Explainer: Vertical Integration May Allow Insurers to Skirt Medical Loss Ratio Requirements image

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