University of Michigan to save $1 million over three years following switch in mail-order prescription vendor

By Juliana Keeping AnnArbor.com Health & Environment Reporter

Posted on Mon, Aug 8, 2011 : 5:57 a.m.

The University of Michigan will switch its mail order pharmacy service vendor used by its employees Sept. 1, a move expected to save the institution $1 million over three years.

The service will switch from Walgreens to NoviXus.

Novi-based NoviXus Pharmacy Service is the first mail order pharmacy in the state, according campus publication The University Record.

The switch in vendors will not change coverage or co-pay amounts for employees, said Dave Reid, a senior director for communications for U-M human resources.

The move impacts U-M's 38,000 insured employees, including those at the University of Michigan Health System.

“This change brings a modest reduction in administrative fees to the university, but also a level of service that includes certified pharmacy techs working in the customer service center, shorter turnaround times for shipments and the ability for our employees to consult with a pharmacist by phone,” Reid said via email.

Mail service is offered to insured employees for 90-day supplies of medications taken regularly, such as cholesterol or blood pressure medications.

Walgreens will automatically transfer the majority of mail-order prescriptions with open valid refills to the new service on Sept. 1, U-M said.

All insured U-M employees use the same prescription service. The overall administration of U-M’s prescription drug plan will continue under informedRx/SXC, the university said in a news release.

Follow Juliana Keeping on Twitter

Comment Now