Telus Health only reimbursing employee drug prescriptions filled through its virtual pharmacy – CBC

Self-insured Telus Health says move offers advantages like reduced dispensing fees

Mar 19, 2024

Employees of the health services offshoot of Telus Communications are only reimbursed for certain drug prescriptions if they fill them through the company’s own virtual pharmacy, CBC News has learned.

CBC News spoke with three employees of Telus Health who shared screenshots showing details of the new policy, which took effect March 1. It states that the company’s “virtual pharmacy’ is now the “preferred provider” for the group prescription drug plan, saying it has “lower markups and dispensing fees than the industry average.”

The employees expressed frustration that they would no longer be able to choose where they filled certain prescriptions unless they paid out of pocket. They were also concerned that they could miss deliveries of vital medications by using the virtual pharmacy, and that those who live in rural areas could be especially affected.

These preferred-pharmacy networks, or PPNs, are arrangements that provide exclusivity between insurers and pharmacy chains. Companies use them to save on prescription drug costs. As the deals become more common in Canada, there’s growing scrutiny about their impact on competition in the pharmacy sector.

Read more: https://www.cbc.ca/news/business/telus-health-employees-must-use-companys-virtual-pharmacy-1.7134413