In this photo illustration, a package of Opill is shown on March 22, 2024 in San Anselmo, California.
Justin Sullivan | Getty Images
CFS health said Thursday that its drug plans will cover the first over-the-counter birth control pill in the U.S. at no cost to many health care plan sponsors, a decision that could open the door for more people to prevent unintended pregnancies without a prescription.
The company's pharmacy benefits manager, CVS Caremark, said the pill will be added to the list of oral contraceptives for preventive services and will be covered at no cost for many sponsors. The drug, known as Opill from Perrigowas available at pharmacies starting April 1, according to a pharmacy update from CVS Caremark last week and viewed by CNBC.
Pharmacy benefits managers, or PBMs, maintain lists of medications covered by health insurance plans and negotiate drug discounts with manufacturers. At most stores, Opill retails for $19.99 for a one-month supply and $49.99 for a three-month supply.
The Food and Drug Administration approved Perrigo's medication in July. It's the first time that many U.S. residents will be able to buy birth control pills without a prescription, the same way they would buy regular pills like Tylenol or Advil.
The drug could significantly increase the availability of contraception, especially for younger women and women in rural and underserved communities who often have difficulty accessing contraceptive methods.
Medical organizations estimate that 45% of the 6 million annual pregnancies in the US are unintended.
The pill's arrival on the market is a victory for the Biden administration, which has sought to strengthen reproductive rights as abortion restrictions increase in many states.
The Supreme Court's decision more than a year ago to overturn the landmark Roe v. Wade ruling, which ended fifty years of federal abortion rights, has led to declining availability of the procedure across the country and renewed calls for expanded access to contraception.