CVS has experienced a series of challenges in recent months. Between an industry-wide drop in Medicare Advantage star ratings, financial hurdles, and transitions in its top leadership, the healthcare giant now appears to be taking stock of its future.

Among consideration is splitting up its assets: CVS Pharmacy, pharmacy benefit manager CVS Caremark, and insurance arm Aetna. The company has reportedly been in talks with bankers about the move, Reuters reported early this month.

So, we took a page out of that one Friends episode and made a pros and cons list. But instead of analyzing Ross and Rachel’s relationship, we’ll tell you what two experts think about CVS potentially breaking up.

Pros. With a company as big as CVS, there can be benefits to vertical integration. For example, Caremark can work with CVS Pharmacy to set drug prices and bring rebates into its pharmacy business.

But lower star ratings are hurting health plans across the country, including rival Humana, and Aetna’s struggles have become CVS Health’s problem.

Keep reading here.—CM

Cigna CEO David Cordani was quick to divert focus from rumored talks of a merger with Humana during the company’s Q3 earnings call on October 31.

“We don’t comment on rumors. But what I will do is be very clear on the actions we are pursuing,” Cordani said near the beginning of the call.

Amid current marketplace disruptions, like increased medical costs and drops in Medicare Advantage star ratings, he said the company has instead focused and will continue to focus on share repurchasing. This strategy led to a profitable quarter overall, with total Q3 revenue at $63.7 billion—up 30% compared to Q3 2023 of $49 billion and above Wall Street’s $59.4 billion expectations, according to Reuters.

“Our actions and our behaviors are consistent with what we said they were going to be, specifically using our discretionary free cash flow for share repurchase,” Cordani said on the call.

Rumors rejected. Bloomberg News reported on October 18 that Cigna and Humana had revived private, “early stages,” and “informal” discussions about a potential deal after prior merger talks fell apart at the end of 2023, anonymous sources familiar with the matter told the outlet.

Keep reading here.—CC

The use of GLP-1 medications for weight loss has risen dramatically in recent years, and now one government hopes that providing the medications to its workforce will help the economy.

Where in the world? Eli Lilly, a US-based pharmaceutical company, and the British government announced a new deal this month that will provide GLP-1 medications to nearly 250,000 people over the next three years, according to the BBC.

Some 26.2% of the UK’s roughly 67 million people have obesity, according to the UK Office for Health Improvement and Disparities. The pharmaceutical company said that it will invest $364 million to help the country address its obesity epidemic, along with other health issues, CNBC reported.

The British government estimates that illnesses relating to obesity are costing the government’s National Health Service (NHS) £11 billion a year. As part of that deal, Eli Lilly and Health Innovation Manchester, an organization that looks for new solutions to health problems, will examine how its weight loss drugs Zepbound and Mounjaro impact patients’ work lives, including their absentee rate and employment status.

Keep reading on HR Brew here.—KP