2019 SB 100 and 2019 AB 114

Bill(s)

2019 SB 100 and 2019 AB 114 allows the commissioner of insurance to regulate a pharmacy benefit manger (PBM) by requiring them to register. The bill also establishes certain price transparency requirements and requirements on contracts the PBM enters into with pharmacies, pharmacists, or health benefit plan sponsors. The bill primarily focuses on the PBM’s relationship with the pharmacies and the insurance commissioner. There are a number of provisions in the bill that may impact the group health insurance program, including changes to the regulation of prescription drug charges and choice of providers, restricting the PBM from collecting fees from pharmacies for the adjudication of claims and inclusion or participation in the PBM’s pharmacy networks, restricting requiring the use of mail order pharmacies and limiting the PBM’s ability to audit pharmacies that participate in their network.

Sponsors

2019 SB 100 was introduced by Sen. Erpenbach and referred to the Senate Committee on Health and Human Services. 2019 AB 114 was introduced by Rep. Schraa and referred to the Assembly Committee on Health. 

Status

Failed to pass pursuant to Senate Joint Resolution 1

Other

Please contact Tarna Hunter, ETF’s Government Relations Director, if you have any questions.