This bill requires health plans to use the lowest cost method of reimbursement for clinician-administered drugs and mandates that health maintenance organizations cover these drugs if they cannot reasonably be self-administered and are typically administered by a healthcare professional. The bill also prohibits health maintenance organizations from requiring pharmacies to dispense medications to patients with the expectation that the patients will transport them to a healthcare setting for administration by a professional. The bill defines "clinician-administered drug" as an outpatient prescription drug that cannot be self-administered and is typically administered by a healthcare professional in a clinical setting.

The fiscal impact of this bill is indeterminable but could result in an increase in health maintenance organization insurance premium costs, leading to an increase in premium tax revenues and potential general fund expenses. County and local expenditures may also increase if they offer fully insured health insurance benefits to their employees. The bill may also trigger federal "defrayal" costs if it is considered a state action to add a health benefit above the Essential Health Benefits offered in the Exchange Marketplace. The Department of Health and Human Services states that this legislation does not impose any new requirements on the department or the Medicaid program.