Oklahoma Senate Bill SB165

Oklahoma 2022 Regular Session

• Introduced: 2/1/21
• Refer: 2/2/21

Caption

Prescription drugs; requiring certain entities to report information related to drug prices to Insurance Department; requiring Department to maintain website with certain information. Effective date.

Impact

The implementation of SB165 is expected to significantly impact how prescription drugs are priced and managed in Oklahoma. By requiring manufacturers and pharmacy benefits managers to disclose financial data and price increases, the legislation aims to provide better oversight and control over drug costs, thereby assisting the state in identifying opportunities to reduce costs for consumers. Additionally, the requirement for the Insurance Department to produce an annual report on these issues ensures ongoing scrutiny of the marketplace, which could lead to more informed policy decisions regarding drug pricing in the future.

Summary

Senate Bill 165 introduces a framework in Oklahoma aimed at enhancing the transparency of prescription drug pricing, particularly for medications essential for treating diabetes. The bill mandates the Insurance Department to compile a list of these critical drugs, which will include all forms of insulin and biguanides sold within the state. Manufacturers are required to submit detailed financial information regarding these drugs, including wholesale acquisition costs and justification for any price increases over a specified period, which is crucial for understanding the factors behind the rising prices of essential medications.

Contention

While SB165 seems to be a step forward in addressing affordability and transparency in drug pricing, it may face opposition from pharmaceutical companies and pharmacy benefits managers who could view the new requirements as burdensome. There may also be concerns about the accuracy and completeness of the information disclosed, as well as debates on whether such regulatory measures could stifle innovation within the pharmaceutical industry. The balance between ensuring consumer protection and promoting a competitive market remains a crucial point of contention among stakeholders.