Change provisions of the Pharmacy Benefit Manager Licensure and Regulation Act
Impact
The impact of LB990 could be significant as it brings a more stringent regulatory environment for PBMs. These changes may lead to increased operational costs for PBMs due to the additional compliance requirements imposed by the legislation. Consequently, there may be an effect on the pricing of medications and the overall cost of healthcare, as PBMs play a critical role in negotiating drug prices and managing pharmaceutical benefits for insurance plans.
Summary
LB990 proposes amendments to the Pharmacy Benefit Manager Licensure and Regulation Act, aiming to enhance the regulatory framework surrounding pharmacy benefit managers (PBMs) in the state. The bill seeks to address various operational aspects of PBMs, focusing on licensure requirements, operational transparency, and overall accountability measures. Through these adjustments, the legislation intends to ensure that PBMs operate in a manner that protects consumers and promotes fair pricing within the healthcare system.
Contention
Discussions surrounding LB990 have highlighted notable points of contention. Supporters of the bill advocate for stronger regulations that would limit the ability of PBMs to manipulate drug pricing and improve transparency for consumers. Conversely, critics argue that imposing stringent regulations might inadvertently lead to increased costs for consumers and patients, as PBMs may pass on the costs of compliance. Hence, the balance between regulation and market competitiveness remains a debated issue among lawmakers and stakeholders.
Revised for Engrossed: Concerning health care benefit managers.Revised for 2nd Substitute: Concerning pharmacy benefit managers.Original: Concerning pharmacy benefit managers.
Prohibit certain provisions in insurance policies and health plans relating to clinician-administered drugs and change provisions relating to pharmacy benefit managers