In a strategic initiative to mitigate prescription medication expenses, CVS Health Inc. announced on Thursday plans to expand its biosimilar offerings within its pharmacy benefit management services. Effective April 1, 2026, the company's CVS Caremark unit will update its major national commercial template formularies by incorporating several osteoporosis-related biosimilar and generic medications.
The forthcoming formulary revision will feature the addition of biosimilars Ospomyv and Stoboclo, alongside generic variants of teriparatide marketed as Bonsity and Tymlos. These products are intended to substitute the currently preferred branded osteoporosis drugs Prolia, manufactured by Amgen Inc., and Forteo, offered by Eli Lilly and Company. CVS Health anticipates that this substitution will yield prescription cost reductions exceeding 50% compared to the branded originals.
Ospomyv, produced by Cordavis Limited, and Stoboclo from Celltrion Inc., have received approval from the U.S. Food and Drug Administration (FDA) for use in treating osteoporosis in patients identified as high risk. Additionally, they are sanctioned for increasing bone density in certain cancer patient populations. Their inclusion in CVS Caremark's formularies is a deliberate effort to expand patient access to effective therapies that are more economically advantageous.
Formulary selection is a rigorous, ongoing process that involves evaluating a list of preferred medications based on evidence-based clinical data, supported by the expertise of physicians, pharmacists, and other healthcare professionals. CVS Caremark underscores that biosimilars, much like generics have done historically for branded drugs, serve as safe and effective alternatives without meaningful clinical differences from the original compounds.
This expansion of biosimilar access builds upon CVS Caremark's prior formulary strategies, notably the exclusion of AbbVie Inc.'s Humira reference brand from its commercial template in favor of lower-cost biosimilars. Ed DeVaney, President of CVS Caremark, highlighted that the company was the first pharmacy benefit manager to implement such exclusion for Humira, enabling customers and their members to realize approximately $1.5 billion in gross savings attributable to increased competition driven by formulary design.
Of those members previously prescribed Humira, CVS reports that 96% have successfully transitioned to biosimilar alternatives, evidencing the feasibility and acceptance of these changes.
Prolia and its biosimilar equivalents are categorized as specialty pharmaceuticals, dispensed through CVS Specialty. Upon implementing formulary adjustments, CVS Specialty engages proactively with both prescribing clinicians and patients to communicate the changes comprehensively and assist in treatment transitions.
At the time of reporting, CVS Health's stock was trading at $77.53, reflecting a 1.57% increase. This uptick may reflect market reactions to ongoing strategic measures aimed at cost management and enhancing drug access through biosimilar integration.
The broader implication of CVS Health's formulary modifications aligns with its commitment to leveraging pharmacy benefit management tools to stimulate competitive pricing and to enhance the sustainability of drug therapy expenditures for commercial clients and beneficiaries.