Evernorth’s Express Scripts, the health services division of The Cigna Group, unveiled a new rebate-free pharmacy benefit model on Oct. 27 that it says will lower medication costs, improve transparency, and support local pharmacies for its consumers.
“We applaud President [Donald] Trump and his administration for taking decisive action to help lower costs for brand-name medicines that have long been controlled by drug companies.”
Cordani said the company is focused not only on lowering drug costs but on providing clinical support, safety checks, and protecting access to local pharmacies.
Adam Kautzner, president of Evernorth Care Management and Express Scripts, noted that the high list prices of just 10 percent of all medications account for about 88 percent of total costs.
“Our innovative model is a win-win for Americans and their employers—lower costs for Americans, real-time transparency for employers, and renewed trust in pharmacy benefits for all,” Kautzner said in the statement.
Cigna Healthcare will implement this model for fully insured members starting in 2027 and expand it to all Evernorth pharmacy benefit clients by 2028.
The new model promises to reduce the monthly cost of brand-name prescriptions by an average of 30 percent, which the company says will be especially beneficial for millions of people with high-deductible plans.
The company also ensures that consumers will pay the lowest available cost for both brand-name and generic medications.
Of four possible prices—for example, an Evernorth negotiated price of $22, a cash discount price of $20, a drug firm’s “direct-to-consumer” price of $50, or a copay of $25—the consumer will pay $20.
Customers will also have the option to pay Evernorth’s negotiated price rather than the drug company’s list price if a prescribed brand-name medicine is not covered by their health plan.
“Tens of millions of Americans benefit from this technology today, and millions more will start benefitting in January 2026,” the statement said.
The new model will be incorporated with direct-to-patient programs when they become available.
Evernorth states its goal is to ensure that Americans’ out-of-pocket costs count toward their annual deductible.
The company will also enhance safety checks to help prevent adverse effects from drug interactions or allergies. Its research shows that more than 50 percent of patients taking chronic care medications don’t follow their treatment plans consistently.
Evernorth is also launching a new reimbursement model that compensates pharmacies based on medication costs, in addition to a dispensing fee and reimbursement for any clinical services they provide to patients. This new procedure is set to begin in 2026.
According to the announcement, more than 9 million Americans are currently being treated with AstraZeneca medications.
The pharmaceutical giant is developing a new facility in Charlottesville, Virginia, to produce advanced drug ingredients for the treatment of chronic diseases and cancer. AstraZeneca plans to invest $50 billion in U.S. manufacturing and research by 2030.
In September, Trump announced a similar agreement with Pfizer to bring MFN prices to U.S. patients.
Evernorth Health is a wholly-owned subsidiary of The Cigna Group. Its divisions include Express Scripts Pharmacy, Accredo, eviCore, and MDLIVE.
