Rx Save Card, a pharmacy benefit solution that enables employers and their employees to integrate an array of cost containment strategies into one integrated navigation and payment experience, announced the successful completion of their $1.7 million seed funding round led by Distributed Ventures and participation from industry insiders.
The prescription drug market is valued at hundreds of billions of dollars and is projected to multiply in the next few years. And GLP-1s and other high-cost drugs will continue putting pressure on the affordability of prescription drugs and employer-sponsored prescription drug benefits.
Despite 165 million Americans receiving pharmacy insurance from their employers, they often must choose between utilizing a traditional pharmacy benefit management (PBM) solution, limiting choices on pharmacies and drugs covered, or paying out-of-pocket using discount cards and alternative pharmacies.
Rx Save Card looks to bridge that gap by offering employees a solution to find the best cost for their prescriptions, and helping employers alleviate the out-of-pocket payments for their employees. And the Rx Save Card also addresses the central issues raised in recent class-action ERISA fiduciary lawsuits for employers that self-fund their pharmacy benefits program.
With this funding round, Rx Save Card will continue to scale its team and technology.
KEY QUOTES:
“I’m excited to partner with Distributed Ventures and its industry partners as we work on creating a win-win solution that saves money for both employers and employees when it comes to prescription drug spend.”
“The employer funds the card with a preset amount per month and the employee can go to any of over 65,000 participating pharmacies, including mail order solutions like Mark Cuban Cost Plus Drug Company, to fill their prescription. The lowest price is then paid by for the card, resulting in material savings for employers as plan sponsors and employees as consumers.”
- Chris Crawford, co-founder and CEO and a 20-year veteran of the employer benefits space, including the last 6 years in pharmacy benefits specifically
“The Rx Save Card team is addressing the significant void between employer sponsored strategies and out-of-pocket solutions. This is timely with recent increased scrutiny from legislative, regulatory and legal entities related to the lack of consumer choice in the prescription drug market. We’re confident that Chris and team will help employers rest easy knowing they’re fulfilling their fiduciary responsibilities to their employees with a comprehensive, easy to navigate solution that delivers material savings.”
- Shawn Ellis, Managing Partner of Distributed Ventures
