The Cost Plus Drugs Affiliate Pharmacy Network is a licensed pharmacy network built by Mark Cuban Cost Plus Drug Company (MCCPDC). It allows PBMs and employers to access a national network of 17,000+ pharmacies and growing using a radically simple, cost-plus reimbursement model — eliminating the opaque spread pricing and unpredictable clawbacks common in traditional PBM networks.
The network currently includes 17,000+ pharmacies nationwide and is actively growing. It includes major retail chains, grocery pharmacies, and independent community pharmacies — giving members broad access across all 50 states.
Traditional PBM networks are built on opaque "spread pricing" — where the PBM charges the employer more than it pays the pharmacy and pockets the difference — along with unpredictable clawbacks and inflated MAC lists. The Cost Plus Drugs Affiliate Network eliminates all of that. Every drug is priced at actual acquisition cost plus a fixed markup and professional fee. No spreads. No hidden margins. No surprises.
Pricing & Fees
The "Fair-Play" Pricing Architecture is straightforward:
Drug AAC
Cost
+
Fixed Markup
15%
+
Dispensing Fee
$12 min
AAC = Drug Actual Acquisition Cost. The 15% markup and $12 minimum dispensing fee are fixed and transparent. This eliminates inflated MAC lists and hidden spreads, and pays pharmacies more for their expertise than traditional models do.
No. Admin fees are fixed and transparent. You pay exactly what the drug costs plus a fixed fee — no hidden percentages, no spread pricing, and no clawbacks. As Mark Cuban puts it: "We are removing the smoke and mirrors."
Most employer groups see a 40–60% reduction in total generic drug costs by bypassing traditional PBM "Gag Clauses" and inflated MAC lists. On average, clients experience roughly a 50% reduction in generic drug spend.
Lower out-of-pocket costs also lead to higher medication adherence among members, improving long-term health outcomes and reducing downstream medical costs.
For PBMs
Integration is designed to be plug-and-play. PBMs can seamlessly lease the affiliate network to offer a "transparent tier" to their self-insured clients — without overhauling their existing infrastructure. The network layers in as a cost-plus option alongside your current network.
Spread pricing is under increasing regulatory scrutiny. By offering the Cost Plus Drugs Affiliate Network, PBMs can eliminate spread pricing risk and shift to a model that aligns with new fiduciary requirements and transparency regulations — protecting both the PBM and their employer clients from compliance exposure with our drug list and network.
The Cost Plus Drugs brand has strong consumer recognition and trust. Members already ask for it by name. Partnering with a brand your members already trust reduces friction during plan transitions and drives higher network utilization from day one.
For Employer Groups
The following PBMs are currently leasing the Cost Plus Drugs Affiliate Pharmacy Network and offering it as a transparent tier to their employer group clients:
SmithRx
A next-generation PBM offering transparent, pass-through pricing. SmithRx leverages the Cost Plus Drugs Affiliate Network to deliver employer groups the lowest possible generic drug costs with no hidden spread.
Active Network Partner
RxPreferred
A transparent PBM partner that integrates the Cost Plus Drugs Affiliate Network to provide self-insured employers with predictable, cost-plus drug pricing and full formulary visibility.
Active Network Partner
Interested in leasing the network for your PBM? Contact Ron Harrison at ron@costplusdrugs.com for an introductory call.
"Gag Clauses" are contractual provisions in traditional PBM agreements that prevent pharmacists from telling patients when a drug's cash price is lower than their co-pay. The Cost Plus Drugs Affiliate Network operates outside this system entirely, using transparent acquisition cost pricing that removes gag restrictions and eliminates inflated pricing benchmarks.
Quite the opposite. Lower out-of-pocket drug costs lead to higher medication adherence — members are more likely to take their medications as prescribed. Better adherence leads to better long-term health outcomes and reduced hospitalizations, lowering total healthcare spend for the employer group.
Yes — and this is a core part of the mission. The fixed $12 minimum dispensing fee is designed to support the viability of local and independent pharmacies by ensuring they are meaningfully compensated for their expertise, rather than squeezed by the low reimbursement rates common in traditional PBM contracts.