This bill amends current law to prohibit health insurance carriers from obtaining licenses to act as pharmacy benefits managers (PBMs). Specifically, it states that carriers are not allowed to obtain or renew a PBM license if it was issued before the effective date of the bill. This change aims to prevent potential conflicts of interest and ensure that the management of pharmacy benefits remains separate from health insurance carriers.

Additionally, the bill outlines the requirements for entities seeking to operate as pharmacy benefits managers or pharmacy services administrative organizations, including the need for licensure and registration from the department. It establishes that licenses will be valid for three years and can be renewed, while also detailing the conditions under which the department may suspend or revoke a license. The bill emphasizes the importance of consumer protection and the maintenance of fair practices within the pharmacy benefits management sector.

Statutes affected:
Introduced: 17B:27F-1.1