Oct 27 (Reuters) - Cigna Group ( CI ) said on Monday it

will eliminate prescription drug rebates in many of its

commercial health plans in 2027.

The move aims to lower costs for patients at the pharmacy

counter with up-front discounts rather than rebates collected

from drugmakers long after a medication is dispensed.

Cigna ( CI ) will expand the rebate-free model to clients of its

pharmacy benefits business starting in 2028.

Drugmakers pay rebates to pharmacy benefit managers, or

PBMs, after a prescription is filled, typically in exchange for

favorable placement on the health plan's list of covered drugs.

Cigna's ( CI ) Express Scripts, CVS Health's ( CVS ) Caremark unit

and UnitedHealth Group Optum Rx are the three biggest

PBMs, which act as middlemen between drug companies and

consumers.