Hawaii 2022 Regular Session

Hawaii House Bill HB1134

Introduced
1/27/21  

Caption

Relating To Pharmacy Audits.

Impact

By implementing specific procedures for auditing pharmacies, the bill is expected to enhance the legal framework governing pharmacy audits in Hawaii, aligning with similar legislation enacted in thirty-eight other states. It establishes requirements for preliminary notifications before audits, stipulates that clinical or professional judgments in audits must involve a licensed pharmacist, and restricts the audit period to claims made within the past year. This ensures that audits are conducted in a manner that respects the rights and practices of pharmacies while emphasizing consumer protection.

Summary

House Bill 1134 aims to establish comprehensive regulations governing the audits of pharmacies conducted by pharmacy benefit managers (PBMs) and insurance providers in Hawaii. The bill was introduced to address the existing lack of regulations in this area, which has allowed PBMs to enforce audits unilaterally, often resulting in severe penalties and fees for pharmacies. The proposed legislation seeks to standardize the audit process and ensure that it is fair and transparent, particularly protecting pharmacies from potentially abusive practices that may compromise consumer access to pharmacy benefits.

Contention

Despite its protective intentions, the bill may face opposition from some insurance providers who might resist regulatory oversight. Concerns could arise regarding the implementation and administrative burden of these regulations, potentially leading to disputes about audit practices. Critics may argue that excessive regulation could hinder the operational efficiency of PBMs and increase costs for insurance companies, which could ultimately affect healthcare pricing structures and availability of benefits.

Companion Bills

HI SB975

Same As Relating To Pharmacy Audits.

Similar Bills

TX HB1358

Relating to procedures for certain audits of pharmacists and pharmacies.

TX SB591

Relating to procedures for certain audits of pharmacists and pharmacies.

MD SB565

Health Insurance - Pharmacy Benefits Managers - Audits of Pharmacies and Pharmacists

MD SB690

Pharmacy Benefits Managers - Definitions of Carrier, ERISA, and Purchaser

MD HB1014

Pharmacy Benefits Managers – Definitions of Carrier, ERISA, and Purchaser

MD HB726

Pharmacy Benefits Managers - Definition of Purchaser and Alteration of Application of Law

MD SB626

Pharmacy Benefits Managers - Definition of Purchaser and Alteration of Application of Law

MD HB321

Pharmacy Benefits Managers – Definition of Purchaser and Alteration of Application of Law