Pharmacy benefit manager

Pharma's benefiting from a spike in drug spending

Data: IQVIA Institute; Chart: Axios Visuals

Health care giants are dependent on payments Trump wants to end

An older man grabs his prescription drugs at a pharmacy counter.
A senior picks up his drug prescription. Photo: Joe Raedle/Getty Images

The 3 big health insurers that control a majority of Medicare's prescription drug coverage — CVS Health, Humana and UnitedHealth Group — are arguably the most at risk from the Trump administration's plan to eliminate rebates within Medicare.

The big picture: These companies rely heavily on rebates to offset the costs of covering seniors' prescriptions. Losing those rebates would shift billions of dollars away from them, and they could lose customers if they raise premiums to make up the difference.