Massachusetts House Bill H1296

Massachusetts 2025-2026 Regular Session

• Introduced: 2/27/25
• Refer: 2/27/25

Caption

To protect 340B providers

Impact

If enacted, HB 1296 will impact several state laws governing health insurance reimbursements and drug pricing policies. The bill intends to eliminate discriminatory practices against 340B entities, which could lead to standardized reimbursement protocols across Massachusetts. By addressing issues of unfair competition and resisting attempts to impose additional costs and burdens upon these entities, the bill seeks to safeguard affordable access to medications for low-income patients through their local providers.

Summary

House Bill 1296, titled 'An Act to protect 340B providers,' is designed to enhance the protections and operational frameworks for entities participating in the federal 340B drug discount program. The bill aims to prevent health insurance issuers and pharmacy benefit managers from imposing unfavorable reimbursement practices and conditions on 340B entities. Specific provisions include assurances that these entities will not receive lower reimbursement rates for drugs compared to non-340B entities, thereby ensuring equitable treatment in the marketplace.

Contention

While the bill is poised to benefit providers and patients reliant on the 340B program, potential points of contention may arise from health insurance companies and pharmacy benefit managers. Opponents might argue that restricting their ability to negotiate or set terms could negatively impact the insurance landscape, potentially raising overall healthcare costs. The dynamics of how reimbursement is managed under the bill may lead to further debates regarding the balance between provider support and market competitiveness.