New York CNN —CVS is buying a primary care doctor’s network, moving the pharmacy deeper into providing physician services for patients.
Medicare Advantage, also known as Medicare Part C, is a type of Medicare health plan offered by a private company that contracts with Medicare.
In 2018, CVS bought Aetna, making it one of the largest health insurers in the country.
“In the last three years, health insurers have become increasingly interested in purchasing primary care practices and employing physicians,” Nicholson said.
Additionally, private Medicare plans typically offer higher reimbursement rates from the federal government than traditional Medicare, and CVS wants to capitalize on this, he said.