General Assembly Substitute Bill No. 7192 aims to enhance the accountability and transparency of pharmacy benefits managers (PBMs) and health carriers, implementing recommendations from the Bipartisan Drug Task Force. Key provisions include establishing a fiduciary duty for PBMs to health carriers, requiring disclosure of conflicts of interest, and prohibiting contract clauses that violate this duty. The bill also ensures that contracts for pharmacy services do not penalize pharmacists for discussing medication costs with patients. Additionally, it mandates that health carriers cannot require individuals to pay more than the lowest cost for prescription medications and requires the Insurance Commissioner to report annually on rebate practices and pricing between health carriers and PBMs.

The legislation introduces a Canadian prescription drug importation program, which involves hiring a consultant to study its feasibility and potentially seeking federal approval for importing cost-effective medications. It outlines requirements for wholesalers and Canadian suppliers, including maintaining detailed records and ensuring compliance with safety standards. The bill also establishes a task force to address prescription drug shortages and expands the Strategic Supply Chain Initiative to improve the management of the pharmaceutical supply chain. The provisions of the bill are set to take effect on October 1, 2027, with certain sections becoming effective upon passage, and it focuses on inserting new legal language without any deletions from current law.

Statutes affected:
Raised Bill:
HS Joint Favorable:
File No. 414:
INS Joint Favorable: