Impact of Prescription Drugs on Premiums

Category of Premium Payment / 2018 / Percentage of Premium

Prescription Drug Expenses / $9,051* / 12.7%
Medical Expenses / $52,993 / 74.3%
Manufacturer Drug Rebates / ($1,058) / (1.5%)
Administrative Expenses / $3,576 / 4.9%
Commissions / $1,552 / 2.2%
Profit / $2,748 / 3.9%
Taxes and Fees / $2,464 / 3.5%
Total Health Plan Premium / $71,326 / 100.0%

*in millions

Source: California Department of Managed Health Care, Prescription Drug Cost Transparency Report