The bill amends Alaska's insurance regulations to bring pharmacy benefits managers (PBMs) and third-party administrators (TPAs) under the oversight of the state's insurance director. It grants the director the authority to examine the affairs and transactions of these entities and requires them to be licensed, introducing new licensing requirements to ensure they meet specific standards. The legislation also replaces the term "registered" with "licensed" in relation to the operation of PBMs and TPAs, reflecting a shift in regulatory terminology, and clarifies exemptions from licensing requirements for certain individuals, such as compliance officers.

Furthermore, the bill outlines specific requirements for contracts between insurers and TPAs, including provisions for termination and fiduciary responsibilities. It allows the director to suspend a TPA's license without prior notice under certain conditions, such as insolvency. New qualifications for PBMs are introduced, requiring detailed disclosures about ownership and management, as well as notification of significant changes. The bill aims to enhance regulatory oversight and accountability in the administration of insurance and pharmacy benefits, with an effective date set for January 1, 2026.

Statutes affected:
SB0134A, AM SB 134, introduced 03/18/2025: 21.06.120, 21.06.160, 21.06.130, 21.27.010, 21.27.630, 21.27.660, 21.27.460, 21.27.901, 21.27.955, 21.27.060, 21.27.150, 21.27.380, 21.27.650, 21.27.040, 21.27.405, 21.27.640, 21.06.090, 21.27.330, 21.27.270, 21.97.020, 21.27.905, 21.27.975