CVS Caremark "Misplaces" $615 Million in Taxpayer Cash, Healthcare Providers Prepare to Grieve Their Fax Machines by 2028, and New Doctors Choose Anything but Primary Care

Hey all,

It’s truly a banner week for the American healthcare machine, where we’ve discovered that losing $615 million in taxpayer funds is just a "rounding error" for PBMs, while our primary care doctors are jumping ship to escape the thrill of unpaid administrative combat. We’re finally being dragged kicking and screaming out of the 1980s by retiring the fax machine, though it’s hard to celebrate digital progress when the systems we’re connecting are still fueled by corporate greed and a chronic shortage of people who actually want to practice medicine. Perhaps if we redirected those "misplaced" CVS millions toward doctors who prefer patients over prior authorization portals, we wouldn't have to wonder why the entire system feels like a high-stakes game of Monopoly played with broken dice.

Enjoy the rundown! 

Jacob Brody (Co-Founder & CEO, ZorroRX)

[U.S. Office of Personnel Management] Audit of Blue Cross Blue Shield Pharmacy Programs Administered by CVS Caremark

The Office of the Inspector General determined that CVS Caremark overcharged the FEHBP by more than $615 million between 2018 and 2021 by failing to pass through negotiated retail discounts and withholding millions in transmission fee credits. This massive discrepancy, which includes lost investment income, stemmed from the PBM using "spread pricing" models and improper performance incentives that directly violated the transparency standards required by their federal contract. It is truly heartening to know that after being caught "misplacing" enough taxpayer money to fund a small space program, these companies are still entrusted to run our health plans, proving that $615 million in overcharges is apparently just the standard "thank you" gift the government allows them to keep for their tireless service.

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[Becker's Hospital Review] CMS Finalizes Rule to Phase Out Fax and Mail for Healthcare Claims

The Centers for Medicare & Medicaid Services (CMS) has finalized a landmark rule establishing national standards for the electronic exchange of clinical documentation, effectively mandating the phase-out of fax machines and physical mail for healthcare claims by May 2028. This regulation introduces the first HIPAA-adopted standards for claims attachments and electronic signatures, allowing for the secure digital transmission of medical records, imaging, and laboratory results across all covered entities. While the move is projected to save $781 million annually, one can only hope the healthcare industry manages to survive the devastating emotional trauma of finally being forced to leave the 1980s.

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[Jeff Levin-Scherz / Substack] 2026 Primary Care Residency Match Trends

The 2026 residency match reveals persistent shortages in primary care, highlighted by a 16% vacancy rate in family medicine and a significant reliance on international medical graduates to fill available slots. While specialties like obstetrics and gynecology remain highly competitive among U.S. medical students, primary care fields continue to struggle with recruitment despite their essential role in the healthcare system. It’s truly a total mystery why new doctors aren't lining up for the glamour of 15-minute speed-dating appointments and a lifestyle that offers significantly more quality time with insurance prior authorization portals than with actual human beings.

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