Rhode Island 2023 Regular Session

Rhode Island Senate Bill S0582 Compare Versions

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55 2023 -- S 0582
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99 S TATE OF RHODE IS LAND
1010 IN GENERAL ASSEMBLY
1111 JANUARY SESSION, A.D. 2023
1212 ____________
1313
1414 A N A C T
1515 RELATING TO INSURANCE -- PRESCRIPTION DRUG BENEFITS
1616 Introduced By: Senators DiMario, Miller, Lawson, Lauria, DiPalma, Valverde, Murray,
1717 and Kallman
1818 Date Introduced: March 07, 2023
1919 Referred To: Senate Health & Human Services
2020
2121
2222 It is enacted by the General Assembly as follows:
2323 SECTION 1. Legislative findings. 1
2424 The general assembly hereby finds and declares that: 2
2525 Health insurance premiums are increasing in large part due to prescription drug expenses. 3
2626 Drug manufacturers employ direct-to-consumer marketing strategies, including coupons, discount 4
2727 cards, and similar offers, designed to conceal the true costs of high-priced drugs. Providing 5
2828 information about lower cost alternatives, when available, will help eliminate an expense that drives 6
2929 up the cost of health care for Rhode Islanders. Furthermore, where the drug makers are willing to 7
3030 offer these ''discounts" to patients with insurance, they should provide similar discounts to help 8
3131 those patients without coverage. This act addresses those cost concerns. 9
3232 SECTION 2. Chapter 27-20.8 of the General Laws entitled "Prescription Drug Benefits" is 10
3333 hereby amended by adding thereto the following section: 11
3434 27-20.8-5. Fair marketing of prescription drugs. 12
3535 (a) A person who manufactures a prescription drug who offers or makes available to an 13
3636 insured in this state any discount, repayment, product voucher, or similar mechanism that provides 14
3737 a reduction in an individual's out-of-pocket expenses, associated with their health insurance, shall 15
3838 permit such mechanism to be used by a person without health insurance coverage for that 16
3939 prescription drug. 17
4040 (b) A person who manufactures a prescription drug who offers or makes available to an 18
4141 insured in this state any discount, repayment, product voucher, or similar mechanism, shall publish 19
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4545 on the discount card, coupon, voucher, or similar material, and on any accompanying advertisement 1
4646 and website, in an easily readable font and understandable format, a message that a generic 2
4747 alternative has been approved by the United States Food and Drug Administration (FDA), that the 3
4848 generic alternative may be available at a lower price, and instructions for the dispensing pharmacist, 4
4949 to inform the consumer about all generic alternatives. 5
5050 (1) For the purpose of this section, a "generic alternative" means a drug designated to be 6
5151 therapeutically equivalent, as indicated by the FDA's "Approved Drug Products with Therapeutic 7
5252 Equivalence Evaluations." 8
5353 (2) Subsection (b) of this section shall not apply to a branded prescription drug until the 9
5454 time that the first drug designated in the FDA's "Approved Drug Products with Therapeutic 10
5555 Equivalence Evaluations" as therapeutically equivalent to that branded prescription drug has been 11
5656 nationally available, or, the active ingredients of the drug are contained in products regulated by 12
5757 the FDA, are available without prescription at a lower cost, and are not otherwise contraindicated 13
5858 for treatment of the condition for which the prescription drug is approved. 14
5959 SECTION 3. This act shall take effect on January 1, 2024. 15
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6666 EXPLANATION
6767 BY THE LEGISLATIVE COUNCIL
6868 OF
6969 A N A C T
7070 RELATING TO INSURANCE -- PRESCRIPTION DRUG BENEFITS
7171 ***
7272 This act would regulate the marketing of prescription drug manufacturers using direct-to-1
7373 consumer marketing strategies including coupons, discount cards and similar offers, to provide 2
7474 information about lower cost alternatives and to make the discounts available to individuals without 3
7575 health insurance. 4
7676 This act would take effect on January 1, 2024. 5
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