This bill amends current law to establish that pharmacy benefits managers (PBMs) have a fiduciary duty to prioritize the financial interests of covered persons, in addition to their existing obligations. Under the amended law, PBMs interacting with covered persons will continue to have the same responsibilities as the health benefits plans or carriers they serve, but they must now also ensure that the financial interests of covered persons take precedence over those of the health insurance carriers. This change aims to enhance the accountability of PBMs in their dealings with covered individuals.

The bill also outlines that PBMs must act in good faith and fair dealing with all parties involved in pharmacy benefits management services, including covered persons and pharmacies. Furthermore, it stipulates that carriers must monitor PBM activities related to prescription drug benefits and ensure compliance with the law. The act will take effect 180 days after its enactment and will apply to all relevant contracts and policies issued or renewed thereafter.

Statutes affected:
Introduced: 17B:27F-3.1