The "Prescription Reduction Incentives and Competition Enhancement Act" seeks to regulate drug prices and improve transparency in Florida's pharmaceutical market. It mandates the Agency for Health Care Administration to establish reference prices for prescribed drugs based on international pricing data, requiring pharmacies to charge cash-paying customers no more than these reference prices. The bill also introduces new reporting requirements for prescription drug manufacturers to submit international price data, with penalties for non-compliance. Additionally, it amends existing laws concerning pharmacy benefit managers (PBMs) and health insurers, prohibiting PBMs from favoring affiliated manufacturers over generically equivalent drugs and ensuring continuity of care when revising drug formularies.

Moreover, the legislation restricts PBMs from reimbursing pharmacies less than they do for affiliated pharmacies and prevents insurers from altering drug formularies during the policy year, except under specific safety or availability circumstances. Health insurers are required to reimburse outpatient prescription drugs at reference prices, with any savings directed towards reducing policyholder premiums and cost-sharing. The act aims to align Florida's drug pricing with international standards, ensuring affordability and access to medications for residents, while promoting competitive market conditions for drug manufacturers. The provisions of the act are set to take effect on July 1, 2026.

Statutes affected:
H 697 Filed: 627.6699, 641.31